The Geely Grand Plan 

Geely started 14 years after Proton. Yet they quietly grew from a typical technology firm from the Far East and started to clone existing products in the market.

They did very well and quite quickly. All, without much attention especially the media from the West.

The stealth growth enabled Geely to come up and openly bid for one of the world’s renown marque for cars and other transportation, which at the time bleeding to death. Despite the infusion of a rescue plan by Ford, Volvo needed a much boost to put its products back in the fighting range with the harsh competition, infusing technology, comfort and energy effecticient on top design, amongst other criteria to nurse back a dying marque and loyal followers gone.

Quietly, Geely transformed Volvo and brought forth two great products XC90 and S90, on top of strengthening the financial position and putting profitability to the global renown Swedish marque.

The 2016 revenue is SEK164b (Swedish Krona) with operational profits recorded at SEK6.6b Swedish Krona, for sales recorded at 534,332 units worldwide.

(SEK1.00 = USD0.125)

In short, Volvo recorded USD 20b in revenue for 2016. Just for size, Volvo global sales pre-Geely (2010) was at 334,000 units.

At the moment, Geely already employing 6,500 engineers and scientists in their research and design facility, which would be risen to 12,000.

Geely quickly learnt everything that Volvo could offer of a company which has been designing and manufacturing premium motorcars since the 1920s. This include the production protocol.

They already have an EEV segment C car on the roads in China, which has a range of 300km.

Volvo is targeting to produce 1 million EEV cars by 2025. Volvo already on the road to realise the Swedish Govt policy that zero death due to traffic by 2020.

Imagine what is in store for Proton, from this point onwards.

Geely as a 49.9% new shareholders of Proton, would provide the necessary capital, be it cash, planet and machinery, relevant technology and benefactor from the Geely experience so far in China and the Volvo experience.

Proton itself required heavy corporate and internal transformation, to move forward. This include the discipline and protocol of the entire eco-system that have been propping Proton to what it is, rightly or wrongly.

The entire vendor program would be transformed as well in this corporate exercise, where it is said that many of the vendors and suppliers are cronies of previous regime and were milking honey supplying below average parts and components.

A transformed model would be tweaked to make the philosophy and strategic intent to have an auto industry remained relevant and self sustaining, especially with infusion of a strategic partner and fresh approach and perspective of doing things.

The much needed shot in the arm by a success story like Geely, equally driven to  continuously grow, innovate and product positioning to a target quite unimaginable to the skeptics.

 

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Published in: on September 3, 2017 at 12:00  Leave a Comment  

Anarchist foiled again

Pro-Tun Dr. Mahathir Mohamad cyberanarchist Syed Akbar Ali, through his blog Outsyed the Box attempted to demonise another Federal Government entity Petronas with a posting laced with lies and slanders, as part of the strategy to demonise the Malaysian Government.

Outsyed-the-Box blog (in his usual fashion, take it off the air just within hours of posting):

Petronas CEO, Board of Directors Should Just Resign And Go Away

My readers will recall that for years I have been warning against Petronas’ wasteful spending especially in this Pacific Northwest LNG project in Canada.

I have said before that the losses incurred here by Petronas could be more than the amount lost in the 1MDB scandal.
The headlines yesterday have been highlighting Petronas cancelling the US$29 BILLION project in Canada.

Here is their Media Statement in full :

 

Pacific NorthWest LNG Project Is Not Proceeding

Today Pacific NorthWest LNG’s partners announced that the project will not be moving forward.

The decision was made by the project partners following a total review of the project amid changes in market conditions.

For almost five years we have been working with local governments, First Nations, residents and businesses about our proposed project and are very grateful for the support we have received.

Thank you to the communities of Port Edward and Prince Rupert for welcoming Pacific NorthWest LNG and hosting our local outreach offices. In addition, thank you to all the communities in northwestern BC who expressed an interest in the project and took the time to work with us.

We would also like to recognize the time and efforts of all the area First Nations, including the Lax Kwa’laams First Nation, Metlakatla First Nation, Kitsumkalum First Nation, Gitxaala First Nation and Gitga’at First Nation, and all of the other nations residing in the Prince Rupert area who have kindly provided us feedback.

Our team members have been warmly welcomed by the communities. Thank you to the dozens of local businesses who we have had the opportunity to work with in the recent years.

Pacific NorthWest LNG will complete our outstanding business commitments by the end of September. Our Prince Rupert and Port Edward offices are scheduled to be closed effective August 25, 2017.

My comments :  I hope our Opposition MPs will take this up in Parliament. For certainly the BN MPs have neither the brains nor the balls to ask questions about this collosal failure.

1. First of all please tell us (without bullshitting) exactly how big is this project?
Is it US29 BILLION (RM124 BILLION) or US36 BILLION (RM154 BILLION) or how much exactly?
The ketuanan boys already cannot figure out RM50 Billion.
Do you seriously expect them to figure out RM124 BILLION??  I dont think so.
So tell us exactly how big is this project in terms of Ringgit.
2.  And how many billions has Petronas lost so far in this doomed project? RM10 BILLION? RM 20 BILLION? RM50 BILLION? Exactly how much?
Look at that picture above. That tank farm has already been built. There is also a suspension bridge over there. Did Petronas have to build that too?
Didnt Petronas already build the pipeline?
Now all that will go to waste.
So exactly how much has Petronas lost in this fiasco?

3. Petronas crows that they sold equity in this project to foreign partners.  Fine. My question is have those partners paid any real money?  Meaning did they pay in full their portion of the paid up capital, share capital or whatever?
These folks are not  village idiots. In a project this size  there are bound to be ‘subject to’ clauses.   We will meet the cash calls subject to a, b, c, d, e etc.  So can Petronas tell us exactly what transpired.
4.  Finally I think the MACC should get involved in this case straight away.  It is too big a project and it has failed.  Tens of billions if not hundreds of billions of taxpayers funds have been lost. (Petronas is wholly owned by the Malaysian taxpayer).
The MACC  should not wait for the public to make reports before they start investigating.
I have been  commenting about  Petronas’ investments in Canada for a long time because I have been hearing plenty rumours that  plenty crap has been going on.

The fine wine connoiseurs have been flying the wrong cargo.

Super Moron’s muallap guy actually runs Petronas.

This ‘global – glokal’ adventure has become a huge failure

.
Tabung Haji blowing hundreds of millions buying real estate overseas.

MARA blowing tens of millions buying hotels overseas.

Sime Darby losing RM800 Million in Qatar or somewhere.

1MDB losing BILLIONS  “investing” in units entah apa.

Now Petronas losing tens of billions in Canada.

If you want to joli-joli, please do so with your own father’s money.   Pakai duit bapak sendiri lah. Dont burn the taxpayers money.
It is better to use our taxpayer’s money and invest inside our own country.  This way even when you screw up, the money still stays inside Malaysia.

It is also better to use our taxpayers money and use it to learn how to do business inside our own country.    This way even when you screw up, the money still stays inside Malaysia.

In the Sime Darby fiasco in Qatar or somewhere, the local boys did not even understand what is the ‘time value of money’.  Rented equipment was left idle. The kids did not understand what was wrong with that.

Just like many now say there is nothing wrong with the economy.

The Petronas CEO and the BOD should just resign and go away.

Syed Akbar Ali at 5:20:00 PM

*************************

Cowardice blogger Syed, in his usual self throw slanders indiscriminately with the intention, the contentious points high lighted adds to the on-going demonisation strategy.

Mainstream business paper The Malaysian Reserve also raised the same question. However, in the professional manner and not with the intent to make Petronas ‘another damned Government entity’.

The Malaysian Reserve:

Questions remain after Petronas aborts Canada LNG project

Petronas Canada LNG

by MARK RAO and Pic by MUHD AMIN NAHARUL

Petroliam Nasional Bhd’s (Petronas) decision to halt the US$29 billion (RM124.12 billion) liquefied natural gas (LNG) project in British Columbia, Canada, has raised questions on how and when the energy firm will recover its multibillion investments.

Petronas purchased Progress Energy Resources Corp — the operator of the North Montney Joint Venture for the Pacific NorthWest LNG facility — for C$5.2 billion (RM17.79 billion) in 2012.

The state-owned firm had invested hundreds of millions in its hunt for gas in what is the company’s single largest investment abroad.

There are questions on Petronas’ upstream assets in Canada and the impact of the LNG project’s indefinite cancellation.

Petronas had also faced strong objections from the indigenous people, environmentalists and local politicians. Despite the approval for the project, the Canadian authorities had slapped 190 conditions before work could start in September last year, spurring speculation that the energy company may dispose of its stake in the project.

The national energy company is also expected to take financial charges for the Canada LNG project.

At the end of last year, Petronas’ accumulated amortisation and impairment losses for goodwill, exploration expenditure and other intangible assets was RM34.6 billion.

Exploration expenditure accounted for RM12.1 billion of the impairment.

Petronas had cited “extremely challenging environment” for the decision to abandon the Pacific NorthWest LNG project at Port Edward, British Columbia.

“We are disappointed that the extremely challenging environment brought about by the prolonged depressed prices and shifts in the energy industry have led us to this decision,” said executive VP and CEO for upstream Datuk Mohd Anuar Taib.

Petronas said the decision was made after a careful and total review of the project.

“We, along with our North Montney Joint Venture partners, remain committed to developing our significant natural gas assets in Canada and will continue to explore all options as part of our long-term investment strategy moving forward,” Mohd Anuar said.

Pacific NorthWest LNG is majority-owned by Petronas. Japan Petroleum Exploration Co Ltd, Brunei National Petroleum Co, Indian Oil Corp and Sinopec-China Huadian are partners in Pacific NorthWest LNG and its associated natural gas supply.

According to an oil and gas (O&G) analyst, the overall industry is presently not supportive of large-scale LNG projects — including the Petronas-led Pacific NorthWest LNG facility — due to the low gas prices.

“Petronas entered the project with the intention to develop the natural gas field themselves for the Asian export market,” said the analyst, who does not want to be named.

“With substantial decline in prices, the move no longer makes sense.”

The analyst said the return on investment from the project — situated on Lelu Island within the district of Port Edward — is not justifiable at current gas prices.

The O&G prices rout that began in the middle of 2014 had driven many global energy companies to abandon their ambitious exploration plans.

Oversupply also weighed down on LNG prices for the Northeast Asia spot market, performing below US$6 per million British thermal units (BTU) early last month compared to above US$14 per million BTU from July to October in 2014.

Petronas’ Pacific NorthWest LNG project was not the only casualty from the O&G rout.

The Prince Rupert LNG facility — also located in the British Columbia region — was terminated in March this year, while approximately US$23 billion in Canadian energy assets were disposed of by international oil firms in 2017 alone.

“Petronas can sit on their assets. When prices recover and the timing is right, the company can try again,” said the analyst.

********************

In reality, the actual corporate exercise undertaken by Petronas in Canada are far from how their perception has been abused through the social media such as Syed’s blog.

These are the facts of the projects in Canada, obtained through Petronas.

PETRONAS’ business interests in Canada

 

  • PETRONAS pursues its business interest in Canada through its wholly-owned subsidiary Progress Energy Canada Ltd.

 

  • Progress Energy operates the North Montney Joint Venture (NMJV) area in which it owns a 62% equity interest. The remaining 38% interest are owned by Japan Petroleum Export Corporation, IndianOil Corporation, Sinopec-China Huadian and PetroleumBRUNEI.

 

  • Progress Energy also has a 62% equity ownership in the Pacific NorthWest LNG project (PNW LNG), with the remaining 38% stake owned by the same partners mentioned above.

 

  • There are also two related pipeline contracts namely:
    • NOVA Gas Transmission Line (NGTL) that brings gas southward from the NMJV area to the main Canadian gas grid called AECO; and
    • Prince Rupert Gas Transmission (PRGT) pipeline to bring gas westward to the PNW LNG project site from the NGTL connection to the AECO grid.

 

The North Montney Joint Venture

 

  • The NMJV area is approximately 800,000 acres of largely contiguous mineral rights in Canada. This is approximately 3,300 sq km and almost twice the size of Malacca.

 

  • Since 2012, significant investments have been made to prove up reserves and resources in the area.

 

  • Production has increased from around 200 million standard cubic feet per day (mmscfd in 2012 to 540 mmscf/day in 2017. The gas is supplied via pipeline to the domestic market in Canada.

 

  • For the first half of 2017, the venture has generated a revenue of CAD261 million (equivalent of RM861 million).

 

  • To-date, the partners have proven a combined total of 22.3 trillion cubic feet (tcf) of proven resources (from 13.4 tcf previously) in NMJV, making it PERONAS’ second largest resource holding after Malaysia.

 

  • If produced at a similar level to PETRONAS’ production in Peninsular Malaysia of about two billion cubic feet/day, the resource could accord PETRONAS a continuous business presence in Canada for almost 20 years.

 

The Pacific NorthWest LNG project

 

  • Although the North Montney is already producing natural gas for domestic consumption, the proposed PNW LNG project was first conceived in 2012 as another option to accelerate the monetization of the gas resources from the area by producing LNG for the export markets.

 

  • In 2013, TransCanada was appointed by Progress Energy to design, build, own and operate the PRGT, a 900-km long pipeline to deliver natural gas the proposed PNWLNG site. It would have included the construction and operation of a pipeline, three compressor stations and a metering station, with an initial capacity of 2.0 billion cubic feet per day.

 

  • The PNWLNG project was sanctioned by all its shareholders in June 2015, pending approval of the Canadian Environmental Assessment Agency (CEAA) and firming up additional project scope and costs.

 

  • The CEAA approval was received in September 2016 with 190 conditions. These conditions, together with further firming up of project scope and costs, resulted in a significant cost increase to the project.

 

  • At the same time, starting from June 2014, oil prices had started its unprecedentedly prolonged drop (until now and into the foreseeable future), which resulted in drastic structural shifts in the industry and changed market landscape and conditions.

 

  • The shareholders of PNW LNG, after a thorough and lengthy review of the project from all aspects, found that it did not meet its economic threshold and decided in July 2017 to not proceed with the project.

 

  • Concurrently, the contract for the design and construction of the PRGT pipeline with TransCanada was terminated.

 

What’s next for PETRONAS in Canada?

 

  • PETRONAS remains committed to Canada through Progress Energy, which owns by all accounts a world-class resource in North Montney. The subsidiary is now finalizing its strategy for Canada and North America post-PNWLG project cancellation.

 

  • PETRONAS is positioning Progress Energy to be one of the top natural gas exporters in North America, looking at various options to monetise the resources.

 

  • PETRONAS believes that the LNG industry could thrive in British Columbia with the right project at the right time.
  • The development of LNG business requires a long term view of the market, world-class natural gas resources, competitive project cost and supportive market conditions.

**********************

If Syed had done his research properly, another interesting point it is timely for Petronas make a ‘tactical retreat’, considering the North American LNG market.

It is not about withdrawing from Nortn America completely but making the right maneuvres to mitigate any setbacks, especially in projects as large as these and the striking the balance and right formula with many variables and volatility of the commodity and produce.

Natural Resources Magazine dot net story:

Oversupplied North American markets could keep Atlantic Canada’s natural gas reserves stranded

 

What goes up must come down. And vice versa. Yes, prices for the cleanest burning fossil fuel have been depressed for what seems like a long time. Growing production from tight rock basins in the United States and Canada is largely to blame, and the forecasts are predicting prices won’t rebound any time soon. That’s not good news for anyone looking to exploit Atlantic Canada’s natural gas reserves. But the oil and gas industry is a cyclical business. Prices could return to the glory days of the early 2000s sooner than the experts expect.

PRICING POINT

The short-term outlook for natural gas prices is not appetizing for companies who might be tempted to develop Atlantic Canada’s reserves, or reserves anywhere in Canada, according to recent National Energy Board analysis.

Source: Canada-Newfoundland and Labrador Offshore Petroleum Board; Canadian Association of Petroleum Producers Statistical Handbook

 

THE WEST IS THE BEST

Western Canada is Canada’s undisputed king when it comes to natural gas production, contributing well over 90 per cent of the country’s annual output. But how much production is each province or territory actually responsible for? Here is how it looked in October, 2015, the most recent figures the NEB has in the public domain.

Source: National Energy Board

CAUSE AND EFFECT

Of course, low natural gas prices will impact the amount of this fossil fuel that is produced in Canada. In 2005, an average of 17 bcf/d of natural gas was produced in Canada. A lot less will be produced in 2017 if the NEB’s natural gas price projections prove accurate.

Source: Canada-Newfoundland and Labrador Offshore Petroleum Board; Canadian Association of Petroleum Producers Statistical Handbook

 

BIG BROTHER

Oversupplied North American markets will likely keep Atlantic Canada’s natural gas reserves in the ground for some time. Growing production from the United States is the main reason why those markets are awash in gas, as output has skyrocketed stateside since 2005.

Source: U.S. Department of Energy

*******************

It is glaringly clear why Syed by practice takes his blog posting down after three or four hours posting.

There is no one in Petronas, especially high at the executive leadership and/or Board of Directors level go to Canada to “Joli-Joli” monies of the national oil firm, which is a Fortune 500 company and one of the ‘New Seven Sisters’.

This clearly a slander, designed to defame men and women appointed by their experience and merit to become the stewards and run the wealthiest state firm in the region.

It is for the very reason that his slanders are based on lies and manipulated information, meant to defame, demonise and sow hatred against Prime Minister Dato’ Sri Mohd. Najib Tun Razak, his leadership and initiatives and administration.

Syed Akbar Ali is not new at this slander, demonisation and even making seditious statements. Somewhat ten years ago before his blog even existed, he was charged under Sedition Act.

The Sun Daily story:

Bloggers charged with sedition

PETALING JAYA (May 6, 2008): Police today slapped sedition charges on a blogger and an author, setting the stage for sensational trials later in the year.

The two men are Malaysia Today webmaster Raja Petra Raja Kamarudin and businessman and writer Syed Akbar Ali who had allegedly posted seditious remarks on the former’s website. Both pleaded not guilty.

Raja Petra was charged in a sessions court here under Section 4(1)(c) of the Sedition Act 1948 with publishing a seditious article titled “Let’s Send the Altantuya Murderers to Hell” in his blog www.malaysia-today.net on April 25. He allegedly committed the offence in his house, No. 5, Jalan BRP 5/5, Bukit Rahman Putra, Sungai Buloh.

The 58-year-old charismatic blogger caused a stir when he refused to take up judge Nurmala Salim’s bail offer of RM5,000, choosing instead to go to Sungai Buloh prison, until the trial fixed for Oct 6-10.

If found guilty, Raja Petra can be jailed a maximum of three years and/or face a fine of up to RM5,000.

Raja Petra was represented by a six lawyers – Bukit Gelugor MP Karpal Singh, K. Balaguru, PKR’s Selayang MP William Leong, J. Chandra, DAP’s Segambut MP Lim Lip Eng and Jeswinderjit Singh.

His prosecution was a media event at the court, with blogger friends and Pakatan Rakyat politicians supporting him. Among those who turned up were Parti Keadilan Rakyat (PKR) president Datin Seri Dr Wan Azizah Wan Ismail, Ipoh Timur MP Lim Kit Siang and Lembah Pantai MP Nurul Izzah Anwar.

Raja Petra had hours earlier turned up at the Duta Court Complex, where he was told to be by the police. However, after waiting for more than an hour, he received a call on his handphone from the police telling him to go to the PJ sessions court instead.

Raja Petra was vocal in condemning the sedition charge, saying that there was nothing to be worried about.

“I have been asked if this sedition charge is part of a war on bloggers. We bloggers declared war on the government four years ago. So it is not the government who has declared war on us. We want to change the government,” said Raja Petra, who added that he was expecting to be charged.

He was detained under the Internal Security Act in 2001, and released the same year.

His departure to Sungai Buloh prison was met with bloggers shouting “Makkal Sathi”, “Reformasi” and “Suara Petra, Suara Malaysia”.

Raja Petra’s website issued a call for donation of RM1 per person to his legal aid fund. At 6.45pm, RM24,500 had been credited to his CIMB bank account, and the fund had collected an additional US$3,283.61 through a Paypal account. It has been closed since.

Meanwhile, Syed Akbar was charged in a Kuala Lumpur sessions court with publishing seditious remarks in the comment section of an article in the Malaysia Today website.

He allegedly committed the offence in the premises of Zeenath Begum Jewellers Sdn Bhd, No. 2007, Jalan Masjid India, here at 2.59pm on June 5, 2007.

The comment with the heading “It is easy to impress the Malays” was made on an article titled “Malaysia’s Organised Crime Syndicate: All Roads Lead to Putrajaya” published by blogger Raja Petra Raja Kamarudin who maintains the website.

The 48-year-old father of two was charged under the same section.

Syed Akbar, a former banker who now runs a business with his wife on Jalan Masjid India, was represented by counsel Ashok Kandiah, Haris Ibrahim and Malik Imtiaz Sarwar, Bernama reported.

Deputy Public Prosecutor Ishak Yusof, assisted by Hanafiah Zakaria, recommended to the court for him to be allowed bail of RM5,000 but Ashok pleaded for a lower amount.

Judge S. M. Komathy Suppiah set bail at RM3,000 with one surety and fixed June 10 to hear submissions by both parties on a preliminary objection raised by the defence who claimed that the charge was groundless at the start of the proceedings.

Syed Akhbar’s wife posted the bail.

 

*********************

However, it is believed half way through the case the charge was dropped. Then was during Attorney General Tan Sri Abdul Gani Patail’s time.

That is why by conduct and practice, Syed would take his posting off the air a few hours after publishing it for fear of being nabbed again.

ALL his blog postings are laced with lies, slanders, defamation, obnoxious and even seditious words, which would land him in trouble if the authority is quick enough to capture the details of his postings and whip up a proper charge.

Again, this cyber-anarchist is foiled.

*Updated 200pm

Published in: on July 28, 2017 at 10:00  Leave a Comment  

Market Driven Vs Cronyism

The global economy confidence on Prime Minister Dato’ Sri Mohd. Najib Tun Razak’s leadership and administration is reflective on the bullish growth of the economy, capital market and amount of trade, weathering out of the global economic recession of 1995-6.

The Malay Mail Online story based on Bernama report:

Tuesday July 25, 2017
12:43 PM GMT+8

Datuk Seri Najib Razak delivers his speech during an Invest Malaysia 2017 event at Shangri-La Hotel in Kuala Lumpur, July 25, 2017. ― Picture by Yusof Mat IsaDatuk Seri Najib Razak delivers his speech during an Invest Malaysia 2017 event at Shangri-La Hotel in Kuala Lumpur, July 25, 2017. ― Picture by Yusof Mat IsaKUALA LUMPUR, JULY 25 — The Malaysian capital market increased nine per cent to RM3.1 trillion in the first six months of this year and is now ranked fifth in Asia, relative to the gross domestic product (GDP), Prime Minster Datuk Seri Najib Tun Razak said.

He said Malaysia is also home to the largest number of listed companies in Asean and at US$29 billion (RM billion), Bursa Malaysia also recorded the highest in funds raised in the last five years among the 10-member regional body.

“All this can point to only one conclusion, namely, our economy continues to prosper and we are stronger than ever as a result of the reforms and programmes the government has put in place,” he said in his keynote address at Invest Malaysia 2017 here today.

He said as the business community and companies like strength and stability, they want the certainty provided by a government that understands the prosperity of its people, is best served by being business-friendly and that sovereignty is not compromised by foreign direct investments.

“The business community wants the certainty of knowing the government is committed to the necessary reforms and to fostering a culture of entrepreneurship, transparency, accountability, and good regulations,” he added.

He said among the major investments pledged by foreign companies in Malaysia include China’s Huawei, which is making the country its global operations headquarters, data hosting and global training centre, at a project cost of RM2.2 billion, while employing more than 2,370 people.

He also said another significant investment is Saudi Aramco which is investing US$7 billion – the company’s biggest downstream investment outside Saudi Arabia — for a 50 per cent stake in the Petronas Refinery and Petrochemical Integrated Development in Johor.

“That is the single largest investment in Malaysia, and shows the confidence Saudi Arabia has in our people, our technology, and ability to be a strong partner with their most important business,” he added.

Apart from that, Najib said London-based HSBC is investing over RM1 billion to build its future regional headquarters at the Tun Razak Exchange, recognising Malaysia’s increasing status as an international financial and business centre.

Another company, Broadcom Ltd, one of the world’s largest semi-conductor entities with a market capitalisation of nearly half a trillion dollars, is transferring its global distribution hub that will manage the group’s global inventory of RM64 billion annually to Malaysia from Singapore this year.

“Others who are already here are expanding their operations. Finisar Corporation, a global technology leader in optical communications, will invest a further RM610 million in its operations in Perak, bringing its total investment in Malaysia to RM1 billion,” he said.

Najib also criticised those opposing the Goods and Services Tax (GST) and said the government would always be straight with the people and do what is right for them.

“We will always put their interests first, from economic welfare to security. Even if it is not the most popular thing to do, we will not hesitate, because it is the responsible thing to do for the country,” he added.

He said this is a reason what he is not very popular with a certain person, under whose leadership, many corners were cut, and the people had to pay a very high price, so that a few of his friends benefited.

“This was even when symbols of national pride had horrendous and catastrophic decisions hoisted on them.

“But, under this government, we are cracking down on crony capitalism. No more sweetheart deals. No more national follies to keep stroking the ego of one man. No more treating national companies as though they are personal property,” he said. — Bernama

**************

This is also coupled with the bullish economic outlook by a global financial authority. The International Montetary Fund (IMF) also revises the Malaysia’s 2017 economic growth forecast from 4.5 to 4.8%.

The Malaysian Reserve story:

IMF revises Malaysia GDP forecast upwards to 4.8%

By DASHVEENJIT KAUR

The International Monetary Fund (IMF) has revised its 2017 growth forecast for Malaysia upwards to 4.8%, driven by favourable economic data and monetary policy.

IMF economic counsellor and director of research Maurice Obstfeld said favourable economic data and a very steady hand in monetary policy for Malaysia were among the main reasons for the upgrade.

Previously, in its April 2017 World Economic Outlook (WEO), IMF forecast gross domestic product (GDP) growth for Malaysia in 2017 to hit 4.5%.

“Steady-handed monetary policy and successful efforts to increase the sustainability of debt levels, which have been trending downward, are among the reasons.

“Based on our upgrade, we also expect upside risks,” he told reporters in Kuala Lumpur yesterday during the release of the fund’s updated WEO.

For the first-quarter (1Q) of this year, Malaysia’s economy recorded a robust growth of 5.6% in 2017 against 4.1% registered in the same quarter of 2016.

The climb was boosted by strong domestic demand and private expenditure.

Domestic demand increased to 7.7% supported by continued expansion in private sector expenditure, which grew by 8.2% and the turnaround in public sector expenditure.

Private consumption rose 6.6%, while investments grew sharply by 12.9% following continued capital spending in the services and manufacturing sectors.

Bank Negara Malaysia (BNM) governor Datuk Seri Muhammad Ibrahim said during the 1Q GDP performance growth announcement in May that the result was the best since the corresponding quarter of 2015, which saw GDP at 5.8%.

BNM announced it was keeping its full-year growth forecast at 4.3%-4.8%, as it is expecting growth to be sustained from the 1Q this year.

The ringgit has also recovered from being among the weakest emerging Asian currencies in 2016, following measures by the central bank to reduce volatility in the ringgit and domestic foreign-exchange market.

Obstfeld said IMF was optimistic that Malaysia would continue to perform well with the appropriate measures put into place.

On the global front, the fund kept its growth forecasts for the world economy unchanged for this year and next, although it revised growth expectations for the eurozone and China upwards.

On global growth, IMF noted GDP would grow 3.5% in 2017 and 3.6% in 2018 — unchanged from estimates issued in April.

While risks around the global growth forecast appear broadly balanced in the near term, they remain skewed to the downside over the medium term, IMF said in its updated forecast.

IMF shaved its forecasts for US growth to 2.1% for 2017 and 2018, slightly down from projections of 2.3% and 2.5% respectively just three months ago.

The fund reversed previous assumptions that President Donald Trump administration’s planned stimulus measures would boost US growth, largely because no details of those plans have been made public.

Obstfeld said the global economy had been the subject of considerable protectionist rhetoric, such as Trump’s proposed tariff on steel imported from China, but such talk had yet to translate into much action.

“What will happen in the future, we don’t know. These threats are in our downside thinking and they’re not built into our forecast because hopefully they don’t happen, but there are risks,” Obstfeld said.

IMF said growth in the eurozone was expected to be slightly stronger in 2018 and pointed to “solid momentum”.

It upgraded 2017 GDP growth projections for the eurozone to 1.9%, up 0.2 percentage points from April.

IMF said eurozone growth would be slightly stronger at 1.7%, a 0.1 percentage point change from three months ago.

It said the expected higher growth in the eurozone indicated “stronger momentum in domestic demand than previously expected”.

IMF revised down its 2017 forecast for the UK by 0.3 percentage points to 1.7%, citing a slump in economic performance since last year’s vote to
quit the European Union.

It left its 2018 forecast unchanged at 1.5%, adding that it expected slightly higher growth in Japan this year of 1.3% — revised from a forecast of 1.2% in April.

It noted stronger 1Q growth would be buoyed by private consumption, investment and exports. Its forecast for Japan’s 2018 growth was unchanged at 0.6%.

IMF expected stronger growth of 6.7% in 2017 for China, up a 0.1 percentage point from the April forecast.

It said China’s growth would still moderate in 2018 to 6.4%, but noted the estimate was up 0.2 percentage points from the April forecast on expectations that Beijing would maintain high levels of public investment.

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These bullish results and outlooks is demonstration of the confidence for the Malaysian economy and fundamentals, amidst a stream of two years of rabid and venomous political demonisation by Fourth Prime Minister Tun Dr. Mahathir Mohamad about Malaysia becoming a “Failed State”.

Channel News Asia story:

Mahathir confident of support for campaign to oust Malaysia PM Najib

 

 

 

Former Malaysian prime minister Dr Mahathir Mohamad says he is confident that the Save Malaysia movement can collect 1 million signatures before the end of the year.

 

SHAH ALAM: Former Malaysian prime minister Dr Mahathir Mohamad is confident that the “Save Malaysia” movement will have enough support to pressure the country’s traditional rulers to act against Prime Minister Najib Razak.

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Speaking at Save Malaysia’s first people’s congress held behind closed doors on Sunday (Mar 27), Dr Mahathir said he is confident that the movement will collect 1 million signatures before the end of the year.

The 90-year-old statesman has been leading the campaign to oust the prime minister, saying it is in order save the country from becoming a failed state. Dr Mahathir earlier this month cobbled together an unlikely alliance of former political foes including former government and opposition leaders, as well as civil rights activists to form the movement.

While the consensus was to remove Mr Najib, whom they blame for the country’s institutional breakdown, there were also heightened calls for the release of jailed opposition leader Anwar Ibrahim.

Former bar council president Ambiga Sreenevasan stressed that it was high time for a reset in the country’s political system and urged government leaders and civil servants to come on board.

“If you turn your back on us, you may save yourself but if you stand with us, you can help save the nation for your children and grandchildren. I invite all, particularly those in power, to join us and be on the right side of history,” she told the congress, which attracted about 2,000 participants.

But few government leaders have spoken up so far, and those who dare to face expulsion from their party.

Dr Mahathir quit UMNO last month after he failed to gather enough support from within the ruling party to oust party president Najib. He is now urging the people to sign the Save Malaysia petition in order to step up pressure on Mr Najib.

Said Dr Mahathir: “People are afraid to sign because this government frightens people. They arrest the people but they cannot take action against 1 million people, can they?”

The Save Malaysia movement has collected more than 140,000 signatures since its launch on Mar 4.

Source: CNA/xq

Read more at http://www.channelnewsasia.com/news/asiapacific/mahathir-confident-of-support-for-campaign-to-oust-malaysia-pm-n-8123836

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All have been been proven wrong. Nothing Dr. Mahathir said or prophecises materialised. In fact, it turn out the opposite.

Prime Minister Najib had a plan to transform the Malaysian economy, government and society and stuck with his plan, which is both strategic and comprehensive.

Hence, he had the right to lambast against his former master for the wrongs he did against the Sixth Malaysian Prime Minister, who is legally elected by Malaysians through a democratic process.

The Malay Mail Online story:

Before international investors, Najib denounces Dr M’s legacy

BY SYED JAYMAL ZAHIID

Datuk Seri Najib Razak delivers his speech during the Invest Malaysia 2017 event at Shangri-La Hotel in Kuala Lumpur, July 25, 2017. ― Picture by Yusof Mat IsaDatuk Seri Najib Razak delivers his speech during the Invest Malaysia 2017 event at Shangri-La Hotel in Kuala Lumpur, July 25, 2017. ― Picture by Yusof Mat Isa

 

KUALA LUMPUR, July 25 ― Speaking before the international business community here today, Datuk Seri Najib Razak denounced the legacy of his predecessor Tun Dr Mahathir Mohamad as being rife with cronyism and corruption.

Najib rarely uses international business platforms to criticise his political foes but today the Umno president said it was necessary to appeal to investors to avoid placing faith in an Opposition bloc led by a man with a track record for “cutting corners” and rolling out policies that only benefited his close allies.

“This government..will always be straight with the people and we will always do the right by the people,” Najib said in his keynote address at Invest Malaysia 2017, a private event for investors.

“We will always put their interests first, from economic welfare to security even if it’s not the most popular thing to do..this is also one of the reasons I am not very popular with that certain nonagenarian.

“Under his leadership many corners were cut, and the Malaysian people had to pay a very high price so that a few of his friends benefitted,” the prime minister added.

Najib has increasingly targeted Dr Mahathir since the latter began a campaign to remove him, which included resigning from Umno, forming an Opposition party, and becoming chairman of the Pakatan Harapan pact.

Continuing with his salvo against the former PM, Najib said today his government was undoing much of the damage caused by Dr Mahathir’s policies, such as by “cracking down on crony capitalism”.

Dr Mahathir had a preference for trickle-down economics that favoured select businessmen and companies, but which ended up concentrating wealth in a handful of elites.

“No more sweetheart deals. No more national follies kept going to stroke the ego of one man,” the BN chairman said.

Najib also warned of a campaign to discourage the business community from supporting his government through what he described as deliberate “misinformation” by the Opposition.

The BN chairman accused the Opposition of starting a drive to sabotage the economy through smear tactics that are often reported by pro-opposition press.

“There has in fact been a concerted campaign to send such misinformation overseas to damage Malaysia’s economy for their own selfish political objectives.

“So if you receive these smears, or you read it in publications that do not check facts properly, please beware”.

The prime minister previously asserted that political rivals were aiming to undermine the economic success of his government in order to generate political support.

But Najib said they have been unsuccessful as Malaysia’s economy continued to grow robustly and draw in investments.

He noted Malaysia’s GDP has grown at an average of 4 per cent annually since he took office in 2009. This year alone trade increased to 24 per cent or RM430 billion compared to the same period last year.

Najib said the data proved investors remain confident in his government.

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Prime Minister Najib did prove his ways of taking the Malaysian economy and trade forward forward at the same time uplift the quality of life of Malaysians, is market driven compared to Dr. Mahathir’s administration, which was filled with cronyism to meet his objectives.

He also beefed up Khazanah Nasional Bhd.’s role, which is one of the strong organisations that perked and propped the nation’s engine of growth on top ensuring the corporatised essential services are delivered for the consumers’ benefit.

The Edge Market story:

Khazanah companies to be Malaysia’s ‘engines of growth’ – Azman Mokhtar

A+A

KUALA LUMPUR (Sept 26): Khazanah Nasional Bhd managing director Tan Sri Azman Mokhtar said the Malaysian Government investment arm’s companies would continue to be the nation’s “engines of growth” as policy makers planned Budget 2017.

Azman said the Government had to be fiscally responsible as the nation pursued economic growth in an uncertain global environment. He was speaking to reporters on the sidelines of the Khazanah Megatrends Forum 2016 here today.

“We expect the continuation of pro-growth, pro-society developmental goals, but at the same time the Government must be fiscally responsible.

“Our various companies in various sectors will continue in contributing as engines of growth. We need to keep the growth engine running,” he said.

Khazanah is a major shareholder in public-listed companies like Axiata Group Bhd and Telekom Malaysia Bhd where Khazanah owns 37.77% and 28.65% stakes respectively, Bloomberg data shows.

In property developer UEM Sunrise Bhd, Khazanah owns a controlling a 66.06% stake.

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Detailed in in the 13th Khazanah Annual Review 2017:

THIRTEENTH KHAZANAH ANNUAL REVIEW (KAR 2017)

13 January 2017

Khazanah posts stronger profits and resilient performance in 2016

Profit Before Tax rises 32%, resilient and long-term value creation intact

Highlights:

  • Amidst a volatile year for equity and currency markets, Khazanah posts stronger Profit Before Tax (Unaudited) in 2016, an increase of 32% to RM1.56 billion from RM1.18 billion in 2015
  • In line with weakness in most benchmark equity markets and currencies, the portfolio Net Worth Adjusted (“NWA”) declined slightly, posting an unrealized decline of 6.4% to RM101.9 billion as at 31 December 2016 (2015: RM108.9 billion). Nonetheless, the long-run value creation trend remains strong with NWA up by 3.1x or a CAGR of 9.3% p.a., for the period May 2004 to 31 December 2016, with a high-quality portfolio with an Asset Cover of 2.9x
  • Continued strong focus on long-term value creation across financial, economic, strategic and societal value creation
  • Highlights for 2016 include the 10th Anniversary of Iskandar Malaysia and continued focus on catalytic domestic investments; the launch of Khazanah’s fifth overseas office in London and continued gradual internationalization in Khazanah’s portfolio, especially in innovation & technology; and continuous improvements at core Khazanah-linked companies as domestic and regional champions.
  • More than RM150 million spent on CR activities in 2016, principally through Yayasan Hasanah, and support of the SL1M training programme, with the cumulative spend and allocation of more than RM3.9 billion over the period 2006-2016
  • More than RM10.6 billion of dividends and taxes paid and payable to the Government over the period 2004-2016

Khazanah Nasional Berhad (“Khazanah”) today presented its 13th Khazanah Annual Review (“KAR 2017”), demonstrating resilience and sustained long-term progress across its financial, strategic and value distribution performance.

Tan Sri Azman Hj. Mokhtar, Managing Director of Khazanah said: “Khazanah recorded both a profitable and resilient performance in 2016, amidst the challenging and volatile global economic environment that affected all core benchmark markets and currencies. In spite of general weakness in global market conditions and in equity and currency markets in emerging economies especially, the underlying strength and quality of our portfolio ensured that long-term value creation remained intact. Profitability, as represented by Profit Before Tax, while relatively modest in absolute terms, was stronger by 32% in 2016 from the previous year. Just as importantly, many risk management and prudential measures have been put in place over the years, resulting in a strong and resilient portfolio which allows us to ride short- and even medium-term volatility, and continue focusing on long-term value creation, as we have done over the last decade and more.”

1. Financial Performance

a. Long-term value creation
Khazanah recorded a 32% increase in unaudited Profit Before Tax (“PBT”) of RM1.56 billion (2015: RM1.18 billion), with cumulative PBT since May 2004 amounting to RM25.08 billion. Khazanah also declared dividends of RM650 million for 2016, with total dividends declared since May 2004 amounting to RM9.11 billion. Taxes paid for 2016 amounted to RM123 million, with taxes paid since 2004 totaling RM1.55 billion.

Portfolio Realisable Asset Value (“RAV”) stood at RM145.1 billion as at 31 December 2016, decreasing RM5.1 billion or 3.4% from RM150.2 billion as at 31 December 2015. Net Worth Adjusted (“NWA”) stood at RM101.9 billion as at 31 December 2016, decreasing RM7.0 billion or 6.4% from RM108.9 billion as at 31 December 2015.

Despite the challenging year, the overall uptrend in Khazanah’s portfolio since May 2004 remained intact. Over the period May 2004 to 31 December 2016, RAV increased RM94.2 billion to RM145.1 billion or 2.8 times as at 31 December 2016 (May 2004: RM50.9 billion), while NWA increased RM68.6 billion to RM101.9 billion or 3.1 times over the same period (May 2004: RM33.3 billion). This translated into a RAV Compounded Annual Growth Rate (“CAGR”) of 8.6% per annum (“p.a.”) and NWA CAGR of 9.3% p.a.. Meanwhile, the RAV cover (assets/liabilities) remained strong at 2.9x. This key prudential ratio provides a position of relative strength for Khazanah to move forward into a year which is expected to see continued volatility and uncertainty.

b. High-quality portfolio assets
The resilience was boosted by the positive performance of several key investee companies. In terms of year-on-year NWA movement, portfolio gains were contributed by Tenaga Nasional Berhad (+RM1.5 billion), CIMB Group Holdings Berhad (+RM600 million), UEM Group Berhad (+RM400 million), and Alibaba Group Holding Ltd (+RM300 million), while portfolio decreases were due to the telecommunications sector (-RM5.8 billion), aviation sector (-RM900 million) and IHH Healthcare Berhad (-RM800 million). In terms of RAV segmentation by sector in 2016, media & communications (17.8%), healthcare (16.2%), power (15.7%), financial services (15.3%) and property (11.0%) sectors were the five largest portfolio components.

In 2016, Khazanah made investments totaling RM6.9 billion, including 17 new investments, and 13 divestments providing proceeds amounting to RM4.7 billion, with gains on divestments totaling RM2.6 billion. From 2004 to 2016, Khazanah has made a total of 161 investments worth RM81.6 billion and 90 divestments providing proceeds amounting RM52.8 billion, with overall gains on divestments totaling RM24.9 billion.

2.  Strategic and Operational Performance

Despite the challenging operating environment, the year saw the sustained execution of Khazanah’s strategic mandate to catalyse growth, create and distribute value. This includes supporting domestic growth, driving further internationalisation, including among investee companies, and maintaining a strong focus on innovation and technology.

a. Catalysing domestic growth
On the domestic front, there was continued development in Iskandar Malaysia, which celebrated its 10th anniversary last year. There was further progress of catalytic investments in the leisure & tourism, education, wellness, property development, Business Process Outsourcing (“BPO”), and creative industries, among others. Overall, Iskandar Malaysia has secured RM218.8 billion in cumulative committed investments from 2006 to September 2016. Khazanah investee companies continued to be involved in key domestic projects, including the launch of KLIA Aeropolis by Malaysia Airports Holding Berhad (“MAHB”), and Telekom Malaysia Berhad’s (“TM”) Broadband Improvement Plan. In the area of Islamic Finance, Khazanah provided further support for Malaysia as a centre for Islamic Finance, with the issuance of a USD750 million straight Sukuk, and a USD399 million Sukuk exchangeable into Beijing Enterprises Water Group Limited shares.

b. Harnessing technology and innovation
Khazanah further rolled out its internationalisation strategy, with the official opening of Khazanah Europe Investment Ltd’s (“KEIL”) office in London by the Prime Minister of Malaysia in May 2016. The KEIL office extends Khazanah’s international presence, which also includes Beijing, Mumbai, Istanbul, and San Francisco.  In tandem, Khazanah made further investments in innovation and technology across several geographies, including the United States, United Kingdom, India, China and Singapore. The continued strong focus on innovation and technology is funded primarily by recycling returns from the earlier investment in Alibaba Group Holding Ltd. It underscores Khazanah’s mandate as a strategic investment fund that creates long-term value for the nation via multiple sources, including harnessing creative disruption and innovation by playing the role of what some have referred to as a “Sovereign Venture Fund”.

c. Furthering regionalisation among investee companies
Khazanah investee companies also expanded their international presence, including:

  • IHH Healthcare Berhad’s (“IHH”) acquisition of Tokuda Group and City Clinic Group in Bulgaria; development of a new hospital in Myanmar; partnership with Taikang Insurance Group Inc in China; and joint-venture by IHH subsidiary Parkway Pantai to build a hospital in China.
  • Completion of Tenaga Nasional Berhad’s (“TNB”) acquisition of 30% stake in GAMA Enerji in Turkey and 30% stake in GMR Energy Ltd in India
  • Completion of Axiata’s acquisition of Ncell Private Limited in Nepal, and merger of Robi Axiata Limited and Airtel Bangladesh Ltd in Bangladesh
  • CIMB Group Holdings Berhad (“CIMB”) strategic partnership with China Galaxy Securities Co. Ltd. in China, and the award of a banking licence to CIMB Bank (Vietnam) Limited in Vietnam
  • UEM Edgenta Bhd’s acquisition of Asia Integrated Facility Solutions Pte Ltd in Singapore
  • Themed Attractions Resorts & Hotels Sdn Bhd’s launch of Kidzania Singapore

Overall, Malaysia remained the largest component of Khazanah’s portfolio in 2016, accounting for approximately 54.9% of RAV by geographic exposure, while overseas investments accounted for the remainder.

d. Malaysia Airlines recovery on track
Meanwhile, there was also steady and continued progress in the rollout of the five-year 12-point MAS Recovery Plan, which after 28 months of implementation, or approximately half-way through, is on track and on schedule. Key milestones in 2016 include the appointment of Peter Bellew to helm Malaysia Airlines Berhad (“MAB”), formation of the Malaysia Aviation Group, and the establishment of the Malaysian Aviation Commission.

3. Value Distribution and Nation-Building Initiatives

a. Delivering societal returns
Khazanah continued to deliver societal returns via corporate responsibility (“CR”) efforts led by Yayasan Hasanah (“YH”), a Khazanah foundation provided with a RM3 billion endowment which focuses on five core areas: Education; Community Development; Environment; Arts, Heritage and Culture; and Knowledge. Overall, Khazanah and YH have collectively spent more than RM900 million on CR initiatives since 2006, including RM89 million on the Khazanah-Skim Latihan 1 Malaysia programme since 2015.

b. Developing human capital and promoting social inclusion
In the education sector, 21 Trust Schools were rolled out in 2016 under the Yayasan AMIR (“YA”) Trust School Programme, bringing the total to 83 schools in 10 states to-date. YA is a not-for-profit foundation incorporated by Khazanah to improve accessibility of quality education in schools through a Public-Private Partnership with the Ministry of Education. Meanwhile, Yayasan Khazanah (“YK”) introduced two new scholarships, Rhodes Scholarship, in Partnership with Yayasan Khazanahand Chevening-Khazanah Scholarship, last year. Yayasan Khazanah awarded 114 scholarships in 2016 under its various scholarship programmes, and has awarded a total of 649 scholarships since 2006. In addition, a total of 5,160 graduates have been trained under the Khazanah-SL1M programme since 2015.

Other social inclusion initiatives rolled out in 2016 include urban rejuvenation projects in Johor Bahru, Kuala Lumpur, Butterworth and George Town by Think City Sdn Bhd, a wholly-owned subsidiary of Khazanah. In addition, the development and promotion of public spaces continued, including the launch of the Taman Tugu Project, an urban rainforest park in the heart of Kuala Lumpur that is being developed through a public-private-civil society partnership. Meanwhile, Khazanah has committed RM71 million for social development initiatives in Iskandar Malaysia, in the areas of affordable housing, capacity building, entrepreneurship development and livability enhancement.

c. Continuing contribution to national transformation
As part of the mandate to create sustainable value for a globally competitive Malaysia, Khazanah continued to provide further support for government policy formation through various platforms in 2016, including the Bumiputera Empowerment Agenda (“BEA”), Unit Peneraju Agenda Bumiputera (“TERAJU”), Special Economic Committee, Performance Management and Delivery Unit (“PEMANDU”), Malaysian Global Innovation and Creativity Centre (“MaGiC”), Talent Corporation Malaysia Berhad (“TalentCorp”), and Global Science and Innovation Advisory Council.

d. Facilitating public policymaking & knowledge development
Meanwhile, Khazanah continued to provide support for government policy formation and deepen linkages across global knowledge networks. Key milestones in 2016 were Khazanah Research Institute’s (“KRI”) publication of “State of Households II”, which examines the latest available data on the state of Malaysian households, and “Climbing the Ladder: Socio-economic Mobility in Malaysia”, a study of inter-generational social mobility in Malaysia, including educational and occupational mobility. In addition, the Khazanah Megatrends Forum 2016, the twelfth in the annual series, was also held with the theme “Geography As Destiny?”, which focused on the political economy of location, environment and demographics. The 12th Khazanah Global Lecture[1] featured Dr. Jane Goodall, the world-renowned ethologist, conservationist and United Nations Messenger of Peace, who delivered a lecture on “Caring for the Earth: Reasons for Hope”.

4. Outlook for 2017
The volatile, uncertain, complex and ambiguous global business and market environment is expected to continue in 2017. Khazanah will continue to drive long-term value creation, further develop a high-quality and resilient portfolio, ensure holistic value creation in financial, economic and societal terms, as well as strengthen institutional integrity and governance.

END

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All these manifest towards bullish Malaysian economy, increased global trade, higher per capita income, better quality of life.

It is very much Prime Minister Najib’s agenda for the ‘Bigger Picture’, to take Malaysia and Malaysians to a better spot from where it has become, amidst the nation moving towards its sixtieth Merdeka in five weeks time.

Published in: on July 25, 2017 at 13:00  Comments (2)  

It is in the numbers, ad volarem 

There is no better way to tell a story but based on facts. Like, presenting it with numbers and the right interpretation.

An quick example is that many people are trying very hard and adamantly to highlight that Barisan Nasional (BN) votes obtained in the last GE did not warrant the mandate of forming the Government by the people.

Taking into argument is that BN only obtained 47.4% of votes casted.

However, the Constitutional Monarchy democratic system practiced here in the Westminster styled ‘First-Past-The-Post’, where number of MPs shall be the determining factor for His Majesty Seri Paduka Yang DiPertuan Agong to invite the party with most MPs in the Dewan Rakyat to form the Government.

GE results

BN’s best performance in GE was in 11GE, where the coalition of 13 parties controlled over 90% of Dewan Rakyat seats. Even that, BN only obtained slightly less than 65% of votes casted.

The last Parliament saw despite obtaining a little over 47% votes casted BN got 60% of the seats of Dewan Rakyat, which is 54 seats majority over the combined Opposition MPs.

BN lost 3% votes casted in the 13GE which only translated to 7 seats lesser in the Dewan Rakyat compared to the previous GE on 8 March 2008, dubbed ‘Political Tsunami’.

Of course the upcoming 14GE would be a very interesting to watch, considering since a year ago when BN and Prime Minister Dato’ Sri Mohd. Najib Tun Razak were at their lowest ebb, BN won handsomely in the Sarawak State Elections and Sungei Besar and Kuala Kangsar twin by-elections.

Many are still bent that BN won because the opposition votes split between PAS and PAN.

However, grieving widow and housewife Datin Mastura Yazid obtained 2,032 votes more than the aggregated votes of all her opponents. The previous BN MP Allahyarham Dato’ Ir Wan Khairil Anwar got 1,082 votes majority in 13GE.

YB Budiman Zohri’s 2,289 votes majority over the aggregated opposition votes is much improved compared to Deputy Minister Allahyarham Dato’ Noriah Kasnon’s 399 votes majority at 13GE.

This is not withstanding the fact that former BN Chairman and UMNO President for over 22 years Tun Dr. Mahathir Mohamad actively campaigned for both PAN candidates, despite the fasting month challenges.

Datin Mastura, then a widow in grief, never left her home during the entire campaign. She won purely on the effectiveness BN machinery.

So, a year has past and the political landscape somewhat changed more favourable towards BN and PM Najib’s advantage, with its own merits and many politically challenging issues such as 1MDB is no longer as prickly as what it was exactly a year ago.

The demerits on the Opposition side is also glaring. The ‘rebellion’ within DAP where 2MPs and 4 ADUNs quit, the break away between PAS and PKR, PKR’s internal fighting and teething problem which somewhat quickly developing worse for the new-kid-on-the-block PPBM.

DAP strategist Kluang MP Liew Chin Tong in his ‘Black Swan’ outlined these backbiting issues for the Opposition:

There are certainly challenges for the Opposition to overcome in order to precipitate change.

First, while there are serious discontents among the Malays, the Opposition must stand for something inspiring and visionary, and not depends solely on the anger against Najib as forward strategy. The Opposition must stand for more than just removing Najib. The economy and the well-being of the people should be the number one priority.

Second, the coming together of Bersatu and the Pakatan Harapan parties, namely Parti KeADILan Rakyat, Parti Amanah Negara, and Democratic Action Party, is a reconciliation of unlikely former foes. Who would imagine Dr. Mahathir and Anwar Ibrahim forming an alliance nearly 20 years after their very bitter fallout in 1998. But the coming together of the once political father-and-son can unleash huge energy if handled properly. After all, both Mahathir and Anwar are positive leadership figures compared to Najib, and they each appeal to some segments of the Malay electorate.

Third, to present a common agenda for Mahathir’s audience and DAP’s supporters is another challenge. If Mahathir and Bersatu go on a racial campaign, it will depress the support of non-Malay voters, which in turn creates a lose-lose situation for the entire Pakatan Harapan coalition. Likewise, the regime’s attack on Mahathir and Bersatu is that they are associated with the DAP. The presence of DAP can also depress the support for Bersatu and other Malay-based parties like PKR and Amanah if the Opposition is unable to break out of UMNO’s racial playbook, and articulate new narratives that can bridge all groups in a larger vision.

Fourth, PAS as UMNO’s “new friend”, as Zahid Hamidi calls them, is a reality, and the sooner a clear line is drawn between the genuine/official Opposition, Pakatan Harapan, and the pseudo “third force” of PAS, the better it is to condition the voters to vote along the line of those “for Najib”, and those “against Najib”.

Fifth, the ultimate challenge for the newly re-aligned Pakatan Harapan that included Bersatu, is that Najib could just exit the scene and take out the raison d’être of the Opposition and the anger in the community.

If this is to happen, can the Opposition survive this unlikely but not impossible Black Swan?

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Taking all that and other factors into consideration, the matrix would translate into a projection which is mathematically possible to do so.

That is not withstanding PM Najib’s administration in keeping up the boost of the ‘Feel Good Factor’, in the run up and continuous implementation of the SEA Games, 60th Merdeka celebrations and Special SEA Games.

It is on top on the many trade deals recently clinched with the super active Prime Minister Najib visits to China, India, Germany and reciprocity of King of Saudi and Bahrain and Crown Princes of Qatar and Japan.

Malaysian economic transformation plan (ETP) growth

The Malaysian economy has seen growth and sharper incline, since Prime Minister Najib launched his economic transformation plan and the various strategy, to drive the nation towards a high GNI nation in the impelementation and ad valorem of the Vision 2020.

The strategic economic agenda for the Malays and Indians, which are part of his economic transformation plan to bring Malaysians to the high income status, is a strategic boost.

In the final analysis, is in the numbers and directionally, it is plausible to plot a bullish projection.

Published in: on May 13, 2017 at 12:30  Comments (1)  

All ahead, full

The progressive economic growth since Prime Minister Najib’s ETP (Graphic by The Malaysian Insight)

Prime Minister Dato’ Sri Mohd. Najib Tun Razak is commanding the vessel ‘Federation of Malaysia’ steaming in full and moving forward, now that the political storm base on fallacies caused by Opposition are being unravelled one by one and nothing should any longer be in obstacle.

NST GEIC Dato’ Jalil Hamid’s column:

Datuk Seri Najib Razak and Datuk Seri Mohamad Hasan

AN ambitious economic zone will be launched this week that planners say will transform the lives of millions of people, especially in Negri Sembilan.

Called “Malaysia Vision Valley” (MVV) and dubbed a “world-class metropolis”, the sprawling zone will be a magnet for local and foreign investors in high-tech industries, and the medical and healthcare, education and tourism sectors.

Prime Minister Datuk Seri Najib Razak will chair the first steering committee of the MVV at his office on May 4.

He will also witness the signing of the head of agreement comprising three entities which are jointly spearheading the ambitious corridor.

The three parties are Sime Darby Bhd, which will take a 50 per cent stake in the venture, followed by Kumpulan Wang Persaraan (KWAP) and Malaysian property firm Brunsfield International Group, which hold 25 per cent each.

They will jointly own MVV Holdings Sdn Bhd, the master planner and project promoter. The chairman of the firm has yet to be named.

The state government of Negri Sembilan will not hold a stake in MVV Holdings but will invest in some of the flagship projects to be developed within the corridor.

The main pull for potential investors will be the proximity to ports and airports, excellent rail and highway links, and the fact that MVV is located near the huge population in Greater Kuala Lumpur.

Greater KL is home to more than a quarter of Malaysia’s 28.3 million people and generates over 40 per cent of the country’s annual gross domestic product.

Najib, in his 2016 Budget speech, had announced that the government will pump in an initial investment of RM5 billion into the MVV project last year.

By 2045, the project is expected to generate over RM417.6 billion in investments.

It is also expected to witness greater traction given the recent signing of the Kuala Lumpur-Singapore High Speed Rail deal, which will have one station within the project.

Negri Sembilan Menteri Besar Datuk Seri Mohamad Hasan told this writer that Labu would be the site of the HSR stop. The station could be built underground, maximising land use.

One highly-placed source said MVV might propose to the government to make the station an international one to cater to air travellers from nearby Kuala Lumpur International Airport. Seremban is currently slated as one of the domestic stations.

There are also plans to revive the Seremban-Port Dickson rail link.

Covering 152,971ha from Nilai to Seremban and Port Dickson, the massive project is a public-private partnership development, with Sime Darby owning around 40 per cent of the land earmarked for MVV.

Phase one will cover 11,129ha. By the way, Sime Darby is one of the biggest landowners in Negri Sembilan, given its oil palm plantations.

Back in 2009, Sime Darby unveiled the master plan for the project, which was previously dubbed Sime Darby Vision Valley.

Originally, it had an estimated gross development value of between RM25 billion and RM30 billion.

To be developed in more than 20 years, the project originally covered more than 32,000ha, spanning Selangor and Negri Sembilan.

The area has been earmarked by the government for development under the National Physical Plan, which sets forth a long-term strategic framework for national spatial planning, including measures needed to shape the direction of land use, development and biodiversity conservation in Peninsular Malaysia.

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And the story about Malaysia Vision Valley launched by Prime Minister Najib, the new economic corridor for Central Semenanjung:

The Malaysia Vision Valley (MVV) development has the capacity to attract more than RM290 billion in investment, besides creating 1.38 million job opportunities. (Pix by MOHD FADLI HAMZAH)

KUALA LUMPUR: The Malaysia Vision Valley (MVV) development has the capacity to attract more than RM290 billion in investment, besides creating 1.38 million job opportunities.

Prime Minister Datuk Seri Najib Razak announced this after witnessing an MoU signing involving Sime Darby Property Bhd, Brunsfield Development Sdn Bhd and Kumpulan Wang Persaraan at his office in Putrajaya, today.

“MVV is a planned, smart and inclusive development to ensure all segments of society reap the benefits of this development.”

“Although MVV aspires to be developed as a modern metropolis, the needs of the public at all levels will be taken into account,” he said.

Najib said the 153,000 hectare development, among others, focuses on providing affordable homes with well-planned and orderly urban facilities.

“MVV will provide more than 1,000 acres (400ha) of affordable housing. Apart from that, MVV will also provide more than 1,000 acres (400ha) of public facilities and recreational areas with green spaces,” he added.

Najib said the project is spearheaded by the private sector and supported by the Federal government as well as the Negri Sembilan state government.

“The government has in principle approved allocations for the development on a number of public infrastructure projects in the MVV areas within the 11th Malaysia Plan.”

“In the first rolling plan of the 11th Malaysia Plan, RM560 million has been allocated for the development of road connections in the MVV area. Other projects being considered include highway networks and integrated rail services to connect the MVV to surrounding areas as well KLIA2,” he added.

Also present at the event was Menteri Besar Datuk Seri Mohamad Hasan.

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The bullishness of the Malaysian economy the past twelve years, substantiated by growth in the capital financial and debt markets and commerce, is the evidence of sound economic management and plan.

Naturally, a stable Federal Government is the enabler for the economic growth and drive.

It is reflective in Prime Minister Najib’s Economic Transformation Plan launched in 2010 where Malaysia would be brought to a high income nation. Within four years, the GNI per capita had risen by 35% and the expansion is substantive.

The growth of public-private investment (Graphic by PEMANDU)

The fact is that, the objective is progressively closer despite global economic crisis 2014-5, which the nation is not spared. The steady angle of growth of public-private investment year-on-year is evidently clear the confidence of the commercial and financial sector.

The central bank is bullish but prudent in their projection of the Malaysian economy.

The Star story:

Friday, 24 March 2017

Malaysian economic growth to be better this year than last

Improving economy: Muhammad at the briefing of Bank Negara’s reports. – SAM THAM/The Star

Improving economy: Muhammad at the briefing of Bank Negara’s reports. – SAM THAM/The Star

PETALING JAYA: The Malaysian economy is expected to see some recovery, with growth set to pick up this year.

According to Bank Negara estimates, the economy this year should grow at a range of between 4.3% and 4.8%. Last year, the economy grew 4.2%.

Bank Negara governor Datuk Muhammad Ibrahim said that the main challenges for this year would be inflationary pressure, geopolitical concerns and monetary policy shifts.

“Although growth is expected to improve from higher global economic activities, the Malaysian economy will be challenged by higher inflation, volatile capital flows and lingering uncertainties in the global economic and financial environment,” he told reporters at his maiden presentation of Bank Negara’s annual report and the financial stability and payment systems report.

Aside from the gradual improvement in global growth, he said domestic demand would continue to be the main driver of the economy, supported by Government spending and the recovery in global commodity prices.

Domestic demand would continue to contribute about 4.4% of the total growth for this year. Among the components of domestic demand, private consumption will remain the biggest contributor and is expected to sustain at 5.6% despite inflation creeping up.

The central bank expects inflation to rise between 3% and 4%, compared to 2.1% last year. Muhammad said the higher inflation was primarily due to the higher cost that would come about due to the pass-through effect of higher crude oil prices.

“However, the cost-driven inflation is not expected to cause significant spillover effects into broader price trends,” he said, while noting that higher living costs and weak consumer sentiment could still be a dampener on domestic demand.

“We expect inflation to be higher than 4% in some months, but it will cool off in the second half of the year.”

On the macro level, Bank Negara expects the current account surplus to narrow to between 1% and 2% of gross national income (GNI) this year, compared to 2.1% last year. In 2014, the current account surplus was 4.5% of the GNI.

Muhammad said the central bank was confident that the current account would remain in surplus, although the growth in imports continues to outpace the growth in exports.

“However, it would depend on how we continue to diversify the economy and sources of growth in the coming years,” he said.

The governor also said there was a need to have a long-term policy on labour, as migrant workers sent back some RM30bil every year and it was growing.

“Although foreign direct investments are declining, the most important is the quality of the investment. It must create value for Malaysians, especially the type of jobs created. We can’t afford to have labour-intensive industries because we don’t have cheap labour in Malaysia,” Muhammad said.

A bright spark in 2016 was the reduction in the household debt-to-gross domestic product (GDP) ratio, which was down to 88.4% compared to 89.1% in 2015.

This would be the first time since 2010 that the household debt-to-GDP ratio has come down.

The bulk of the household debt is attributed to loans tied to property and cars.

On this score, Muhammad brushed off perceptions of a lack of end-financing for houses by banks. “The main issue is house prices remaining unaffordable relative to household income. It is not that access to financing is the issue,” he said, adding that less than 30% of new launches were in the affordable segment.

He warned that some deterioration in loan performance for some businesses and households would be expected for this year.

“Rising debt beyond the prudent level will add financial strain to households. We are now seeing impairment rising higher, although from low levels.”

Read more at http://www.thestar.com.my/business/business-news/2017/03/24/growth-to-pick-up/#k9C2KHgXqITbiXug.99

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It is intersting to note that the economy is expected to record growth on productivity and not just the price of oil is at the neighbourhood of USD50 per barrel. The demand growth is also expected to increase and this is important for the domestic economy.

The fact is that, the Malaysian economy is set to be slightly bullish and signs of that is reflective in the strengthening of Ringgit against US Dollar.

Prime Minister Dato’ Sri Mohd. Najib Tun Razak receiving King Salman Al Saud of Saudi Arabia for the latter’s official visit to Malaysia (NST photo)

Prime Minister Najib is forging better ties with global leaders and new trade opportunities are being opened for Malaysian firms.

Recently, the visit of Saudi and Bahraini Kings and Japanese Crown Prince and Prime Minister Najib’s visit to India and China fostered many investment deals, on top of global geo political matters.

The Straits Times story:

Najib’s visit to India bags number of deals

Mr Najib Razak was hosted by Mr Narendra Modi at an official welcome at Rashtrapati Bhavan Presidential Palace. This is his third visit to India since he took office in 2009. His busy schedule in the six-day visit includes holding talks with business leaders and officiating at a ceremony for a new complex of the Malaysian High Commission 

One proposal is building $2.8b urea, ammonia plant in Malaysia

NEW DELHI • Indian Prime Minister Narendra Modi held talks last night with his Malaysian counterpart, Datuk Seri Najib Razak, who is on a six-day official visit to India.

“Honouring a shared heritage. PM @narendramodi receives PM @NajibRazak at Hyderabad House,” Indian External Affairs Ministry spokesman Gopal Baglay tweeted.

The two leaders witnessed the signing of a number of agreements following delegation-level talks between the two sides.

The proposed development of a US$2 billion (S$2.8 billion) urea and ammonia manufacturing plant in Malaysia was the biggest deal on the table. The facility, with a capacity to produce 2.5 million tonnes a year, would be dedicated to supplying the Indian market.

Another deal was between a Malaysian company and Andhra Pradesh Economic Development Board for the setting up of a technology park in the southern state.

Both countries also signed a bilateral air services agreement which would enhance connectivity.

A memorandum of understanding was inked between the Association of Indian Universities, New Delhi, and the Malaysian Qualifications Agency on mutual recognition of educational qualifications.

The move is meant to encourage students to study in each other’s country in all courses.

A joint statement issued after the meeting between Mr Najib and Mr Modi disclosed that both sides had agreed to explore a possibility of enhancing cooperation in the financial sector. This could include participating in each other’s capital market and the granting of commercial banking licences.

Mr Najib, accompanied by his wife and several Cabinet ministers, was accorded an official welcome at Rashtrapati Bhavan Presidential Palace earlier yesterday.

In brief remarks to the media, the Malaysian leader, with Mr Modi at his side, said he was confident that his visit would enhance their bilateral relationship “to a higher level”.

Mr Najib later paid a courtesy call on Indian President Pranab Mukherjee and Vice-President Mohammad Hamid Ansari.

The trip, at the invitation of Mr Modi, is Mr Najib’s third to India since he assumed office in 2009.

He had arrived in the southern city of Chennai last Thursday where he attended an official reception hosted by the Acting Governor of Tamil Nadu, Mr Vidhyasagar Rao.

Mr Najib will also be holding dialogues with leaders and captains of industry from major business sectors.

He is scheduled to travel to Jaipur today to attend a high-level discussion on the progress of Malaysian companies in infrastructure projects in the state of Rajasthan.

He is also expected to attend a business luncheon and the 7th Global Science and Innovation advisory council meeting in the Indian capital tomorrow.

He is due to officiate at a ceremony for a new complex of the Malaysian High Commission on Tuesday.

India is currently Malaysia’s tenth-largest trading partner, seventh-largest export destination and 12th-largest source of imports.

It is also Malaysia’s 20th largest investor, with total investments worth US$2.31 billion.

BERNAMA

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So was when he visited Germany nine months ago and earned remarkable grounds.

Malaysiakini story based on Bernama report:

Najib’s visit to Germany a major boost for bilateral ties, trade

 M Saraswathi, Bernama     Published 29 Sep 2016, 10:58 am     Updated 29 Sep 2016, 12:19 pm

Prime Minister Najib Abdul Razak’s official visit to Germany is a major boost for bilateral ties, trade and investment climate between Malaysia and Germany, which has a population of about 80.6 million and is the world’s fourth largest economy.

The visit gave both existing and potential German investors in Malaysia the opportunity to voice out their opinions, challenges and suggestions directly to the country’s premier.

“They (businesses) were very pleased to be given the opportunity to engage directly with the head of the government. It demonstrates our commitment to further encouraging their businesses in Malaysia,” said Malaysian Investment Development Authority (Mida) chief executive officer Azman Mahmud.

Germany is Malaysia’s largest investor from the EU. There are a total of 400 German companies in Malaysia. In the first six months of 2016, German companies invested a total of RM6.44 billion in Malaysia. Over the last 10 years, total investments have totalled RM35 billion.

The businesses were very happy with the remarks and assurances given by the prime minister on providing the right business environment for them, he told Bernama on the sidelines of the prime minister’s three-day official visit which took off with a one-hour closed door dialogue session with top businesses.

This is Najib’s first visit as the country’s prime minister since taking office in 2009. His visit was on the invitation of German Chancellor Angela Merkel.

Both leaders had a bilateral meeting on Tuesday.

Companies participating in the dialogue included Atotech, AWS Schafer, BMW, Daimler, Osram, Volkswagen, Infineon, Bombardier Transportation, Ensinger, B Braun, Green Sugar and Biesterfeld International.

Besides the dialogue session, the prime minister also had bilateral meetings with XFab chief executive officer Rudi De Winter, Muhlbauer president Josef Muhlbauer, BMW Group (Munich) senior vice president (Asia Pacific & South Africa) Hendrik von Kuenheim, and Aerodata AG director strategic business development Dr Manfred Haverland.

Najib, who is also finance minister, said about RM1.5 billion in potential future investment was revealed by companies he met during the dialogue session and bilateral meets, mainly in the semiconductor and machinery sector.

Their intention for new investment and re-investment demonstrates their confidence level in the country’s attractiveness and stability, he said.

Azman said besides investment-related issues, businesses involved in the automotive sector were also keen to know about the country’s National Automotive Policy.

“They wanted to know the future direction of it and the adoption of Euro 5 and energy efficient vehicles,” he said.

Najib said the government would continue its efforts in making Malaysia the most attractive investment destination in South-East Asia and constantly encouraging existing investors to re-invest in the country.

Keen to draw mid-sized manufacturers

During his meeting with the business community, he also announced that besides the multinational companies, Malaysia is now keen to also attract the country’s mid-sized manufacturers.

Accounting for a substantial number of companies and known collectively as “Mittelstand”, they are the backbone of the economy, supplementing the bigger well-established industrial and manufacturing giants.

Najib believes that Malaysia’s small and medium enterprises can learn much from German mid-sized companies especially in terms of their entrepreneurial spirit, their competitive strategies and their adaptation and innovation in advanced technology.

On the last leg of the three-day visit, Najib went to a port city in the state of Mecklenburg-Vorpommern, which is about 200km from the capital, Berlin.

Mecklenburg-Vorpommern is the sixth largest German state by area and the most thinly populated state.

He also went to Wismar, where Genting Hong Kong Ltd is managing three shipyards it acquired in Mecklenburg-Vorpommern last year for RM1.04 billion.Genting has since renamed the shipyards as MV Werften and will focus on building large new cruise ships.

He said the venture in Mecklenburg-Vorpommern through the acquisition of the shipyards paves the way for more investments by Malaysian companies in the state.

In further fostering Malaysia-Germany relations, the prime minister expressed Malaysia’s strongest interest in hosting the 16th Asia Pacific Conference of German Business in Kuala Lumpur in 2018.

“We hope it will materialise,” he added.

– Bernama

Read more: https://www.malaysiakini.com/news/357284#ixzz4gC2LBgQJ

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Prime Minister Najib’s upcoming working visit to China is the follow through.

It is really ashamed if his desire and drive to expand and improve the economy, gross national income and income per capita is being hindered by very unproductive over politicking.

More over, if Prime Minister Najib has to pander to Oppositions’ strategy of demonisation compelete with manipulation, fabrication, deception and slander to maintain or gain new political grounds.

Otherwise they are unable to unseat him and the Barisan Nasional administration.

For the record, when Prime Minister Najib inherited the reigns of the nation from Fifth Prime Minister Tun Abdullah Ahmad Badawi in April 2009, it was not in calm waters and sunshine.

The world was still in the shock of the subprime financial fiasco which almost brought the United States banking system to its knees. Globally, it affected the free market.

By the time Prime Minister Najib got to grasps of things and issues, he started to plan and unleash his ways of making the change. He saw the opportunities await the nation and her people, its potential and most of all, the challenges and limiting factors.

Prime Minister Najib had big plans to optimise all resources available for realise the potentials to the max and he and his administration planned strategies and unleashed various transformation programs designed for multipronged attacks and objectives.

These transformation programs simultaneously being implemented bit by bit saw progress and positive results. However, during the days of making hay in the sun, suddenly unforeseeable storm appeared on our coast.

2015-16 saw Prime Minister Najib at the helms weathering one of the global worst economic woes in more recent times when the price of crude oil fell nearly USD80 per barrel in a very short span of time.

This is coupled with major currencies saw significant drop against US Dollar, including China Renmimbi, Japanese Yes, Euro and British Pound Sterling, which had contagion effect on world trade, investments and the elastic financial and capital markets volatility.

This was also the most challenging period in Prime Minister Najib political career when he was at arms against being toppled by Fourth Prime Minister Tun Dr. Mahathir Mohamad, who teamed up with the Oppositions and Neo Con Jewsih control foreign media lashing out incessant manipulated, fabricated, deceived and slanderous voracious attacks.

Now that both political and global economic storms have subsided,  the vector that Prime Minister Najib has set on is forward an up, as in the words of an infamous seaman Captain Edward Smith 105 years ago in his order to steam full ahead, “Time to stretch her legs”.

In the final analysis, for average Malaysians it is better of for Prime Minister Najib to be given more opportunity to work harder and space. It is nothing but to expand and extend what he had planned, under planning and/or being implemented, for the betterment of the nation.

Published in: on May 5, 2017 at 15:00  Leave a Comment  

Open for Business 

Bandar Malaysia redevelopment project of the former RMAF Kuala Lumpur Air Base in Sg. Besi is open for business from fresh parcel bidders now the IWH-CREC consortium unable to make good it’s Share-Sale Agreement (SSA) terms.

Press Release

For Immediate Release

BANDAR MALAYSIA AGREEMENT WITH IWH CREC LAPSES

KUALA LUMPUR, 3 May 2017

1. TRX City Sdn Bhd would like to announce that the Share Sale Agreement (SSA) entered into on 31 December 2015 with Iskandar Waterfront Holdings Sdn Bhd (IWH) and China Railway Engineering Corperation (M) Sdn Bhd (CREC) – who on 21 July 2016 assigned its benefits and responsibilities to IWH CREC Sdn Bhd – regarding the sale of 60% of the issued and paid-up capital of Bandar Malaysia Sdn Bhd, has lapsed.

2. This is because, despite repeated extensions being granted, IWH CREC failed to meet the payment obligations outlined in the Conditions Precedent under the SSA. As a result, the share sale agreement between the parties stands null and void with immediate effect.

3. Looking ahead, given a significant appreciation in the value of the Bandar Malaysia land, TRX City’s sole shareholder the Ministry of Finance will now be retaining 100% ownership of the site to ensure that the Malaysian people benefit from its development in its entirety.

4. TRX City will immediately be inviting expressions of interest for the role of master developer of Bandar Malaysia, with full ownership being preserved by the Ministry of Finance. The selection process will involve very strict criteria, including track record, speed of delivery and financial capability for such large scale development. This is to enhance all aspects of Bandar Malaysia, including its role as a business, transport, residential and tourism hub.

5. The steps taken today will ensure that there is no detrimental impact on the long-term development of Bandar Malaysia and that, upon its completion, the site will serve the national interest to an even greater extent than before.

6. Bandar Malaysia will be a catalyst for economic growth and national development. The biggest development site in Malaysia in a key strategic position, it will offer many business, investment and employment opportunities, including Kuala Lumpur Internet City, the hub for the new Digital Free Trade Zone. It will also be Malaysia’s transport nucleus, connecting the Kuala Lumpur-Singapore high-speed rail, MRT lines, KTM Komuter, Express Rail Link and 12 highways.

Ends

Please contact Maisara Ismail at maisara.ismail@trx.my for any media enquiries.

******

Ministry of Finance Inc. (MOF) decision to undertake the master development role of Bandar Malaysia, which also has been earmarked as the Transportation Hub.

The Star story:

Friday, 27 January 2017 | MYT 7:04 PM

MRCB signs new MoU to develop Bandar Malaysia transport hub

image: http://www.thestar.com.my/~/media/online/2017/01/27/11/10/dcx_doc6qfv7paw70813o3kpdtk.ashx/?w=620&h=413&crop=1&hash=513167BA9D3AD037BBABA6934F5EC18F92BDBF64

MRCB is a pioneer in transit oriented development in Malaysia through its Kuala Lumpur Sentral CBD project.

MRCB is a pioneer in transit oriented development in Malaysia through its Kuala Lumpur Sentral CBD project.

KUALA LUMPUR: Malaysian Resources Corp Bhd (MRCB) has inked another memorandum of understanding (MoU) to develop an integrated transportation terminal at Bandar Malaysia, Kuala Lumpur.

Wondrous Vista Development Bhd continues to be a joint signatory, but the third partner now is Bandar Malaysia Sdn Bhd.

Under the original MoU to develop the hub, IWH CREC Sdn Bhd — a joint venture between Iskandar Waterfront Holdings Sdn Bhd (IWH) and China Railway Group Ltd — was the third partner.

The original MoU, signed in June last year, has lapsed.

The latest non-binding MoU, which was signed on Jan 3, would also have a validity period of six months, MRCB said in a filing with Bursa Malaysia. The agreement, however, may be terminated at any time by mutual consent.

Bandar Malaysia Sdn Bhd is the 100% shareholder of Omega Cartel Sdn Bhd, which in turn is the registered owner of the 486 acres of land at Bandar Malaysia.

Under the agreement signed in June last year, Minister of Finance Inc would own 40% in Bandar Malaysia Sdn Bhd and the rest by IWH CREC Sdn Bhd. It is not known whether the shareholding structure remains.

MRCB said 60 acres had been earmarked for the purpose of an integrated transportation terminal.

Read more at http://www.thestar.com.my/business/business-news/2017/01/27/mrcb-signs-new-mou-to-develop-bandar-malaysia-transport-hub/#fk39h7MKWQbrUElC.99

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Federal Government also announced the setting up of Asset Co., the asset management co. to undertake the high speed rail project.

The Star story:

Wednesday, 3 May 2017 | MYT 2:23 PM

Tender for KL-Singapore high speed rail asset firm by year end

KUALA LUMPUR: The government will call for a tender by the year-end to set up a privately-financed asset company (AssetsCo) for the Kuala Lumpur-Singapore High Speed Rail project, said MyHSR Corporation Sdn Bhd chief executive officer Mohd Nur Ismal Mohamed Kamal.

AssetsCo will be responsible for the design, build, finance and maintain rolling stock and to design, build, finance, operate and maintain rail assets such as track-work, power, signalling and telecommunications.

“We are transitioning from the development phase to the implementation phase where we have hired our civil reference designers and consultant adviser for the system site (railway system) jointly with Singapore.

“We are working hard towards the procurement stage, which will be the start of the construction phase, and for Assetco, we are targeting by end of this year,” he told reporters on the sidelines of the “Third High-Speed Rail Symposium in Malaysia” here on Wednesday. – Bernama

Read more at http://www.thestar.com.my/business/business-news/2017/05/03/tender-for-kl-singapore-high-speed-rail-asset-firm-by-year-end/#yyMjzxPr9fegVEYL.99

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Bandar Malaysia would also be the site for the Terminal of the Kuala Lumpur Singapore high speed train, which first tranche of the series of tenders would be opened by end of the year.

The Edge Market story:

First tender for KL-Singapore high-speed rail assets up in 4Q17

A+A

KUALA LUMPUR (May 3): The first tender for the KL-Singapore high-speed rail (HSR) project will be called in the final quarter of 2017 for the purpose of setting up an assets company (AssetsCo), said Land Public Transport Commission (Spad) chairman Tan Sri Syed Hamid Albar.

He said it would be followed by infrastructure tenders in the first quarter of 2018.

“We have completed the initial process of appointing a joint development partner and a reference consultant (earlier this year). So the next stage is the calling of tender by the AssetsCo [at the] end of the year. It is interesting to note that we have a lot of international interest to bid for the infrastructure tenders,” he told reporters on the sidelines of the third HSR Symposium in Malaysia.

The symposium was organised by the Japanese government to share its 52 years of experience in its HSR, also known as the Shinkansen.

The 350-km HSR will connect Bandar Malaysia in Kuala Lumpur and Singapore. Both the Malaysian and Singaporean governments signed a bilateral agreement to build the rail that is expected to be completed by 2026.

Last July, the respective governments signed a memorandum of understanding to establish the HSR and appoint the AssetsCo to provide and maintain the HSR trains and its associated systems, such as track, power, signalling and telecommunications.

As for the operation of cross-border services, both MyHSR Corp Sdn Bhd, a MoF Inc subsidiary, and Singapore’s Land Transport Authority would be appointed to operate the HSR services.

Asked about the project cost, Syed Hamid said it was too early to disclose while the governments would decide on the best bidder based on its financial package.

“We will look at the most attractive package at best price and something both governments can afford and accept. It is still at early stage now but we will come up with the total cost later,” he said.

He added that each project would need to be done according to budget allocation as the government has a budget cap while the rest is taken on by the companies.

In addition, he noted that foreign bidders are required to ensure a 40% Bumiputera content so that local businesses can also benefit.

Meanwhile, Syed Hamid said the fare pricing for the HSR would not depend on ridership so as to avoid astronomical ticket costs but it would be supported by transit-oriented development (TOD).

“Even in Japan, a bulk of its revenue comes from TOD. Only China can sustain on fare revenue because of high ridership,” he said.

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This is a golden opportunity for MOF Inc. to realise better value from fresh bidders for the Bandar Malaysia, as oppose to the initial value of RM12.35 billion as at 31 Dec 2015 as per announcement of master development consortium IWH-CREC.

Two years ago MOF decided to hive off majority control of the Bandar Malaysia to master developer consortium IWH-CREC.

This development is a followthrough of the 1MDB Rationalisation Plan since the Federal Government strategic investment corporation is no longer pressed to resolve its financial woes, unlike two years ago.

The Star story:

Thursday, 31 December 2015 | MYT 10:04 AM

1MDB to sell 60% stake in Bandar Malaysia for RM7.41bil

KUALA LUMPUR: 1Malaysia Development Berhad (1MDB) will sign a share sale and purchase agreement to sell 60% of its equity in Bandar Malaysia Sdn Bhd to a consortium for RM7.41bil, the final milestone in its rationalisation plan.

The buyer, a consortium known as IWH-CREC Sdn Bhd, is a 60:40 joint venture between Iskandar Waterfront Holding Sdn Bhd (IWH) and China Railway Engineering Corporation.

A press release issued by 1MDB before the start of the ceremony this morning said that the agreement marked the final milestone in the 1MDB rationalisation plan as presented to the Cabinet on May 29.

The agreement follows from the execution of the Binding Term Sheet with IPIC in June 2015 and the Share Sale and Purchase Agreement with CGN Group last month.

The statement said that the IWH-CREC Consortium has valued the Bandar Malaysia land situated in Sungai Besi at RM12.35bil.

“Accordingly, its 60% share will cost RM7.41bil. 1MDB will receive a 10% deposit of RM741mil upon execution of the Share Sale and Purchase Agreement, with completion of the transaction expected by end June 2016.”

Read more at http://www.thestar.com.my/news/nation/2015/12/31/1mdb-to-sell-stake-in-bandar-malaysia-for-7_41bil/#GUfSY1iITKZgwG2z.99

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Iskandar Waterfront Holdings (IWH) is a Johor based property development corporation, controlled by property and construction tycoon Tan Sri Lim King Hoo. Khazanah Holdings Bhd. is a minority shareholder of IWH.

Earlier, IWH was illustrated to be a bullish corporation which is ready to be listed back on Bursa Malaysia.

Borneo Post story:

Analysts positive on IWH, sees ‘superb future earnings potential’

KUCHING: The proposed merging of Iskandar Waterfront Holdings Sdn Bhd (IWH) and Iskandar Waterfront City Bhd (IWC), of which IWH will resume the listing status of IWC (post exercise), met with positive views from analysts.

They pointed out that this move could create a new breed of developers in town, which focuses on land sales.

In a report, the research arm of Kenanga Investment Bank Bhd foresaw that IWH may have great earnings potential given that they have identified buyers for circa 150 acres of Bandar Malaysia.

“Assuming an average selling price of RM2,000 per square feet (psf), the potential land sale of circa 150 acres of land would contribute c.RM2.5 billion to its bottom-line or RM0.8 billion per annum over three years, allowing IWH to convert its redeemable convertible preference shares (RCPS) as it would have then achieved a cumulative profit after tax of RM1 billion.”

To recap, IWC has entered into a land sale agreement with Greenland, China back in 2015 for the disposal of three parcels of land in Johor (127.9 acres) for total consideration of RM2.4 billion which could potentially generate profit after tax (PAT) of RM1.2 billion which is to be recognised over three years.

“However, this particular deal has yet to be completed as they have received further extension till May 5, 2017,” the research team added.

“Assuming that every party agrees to inject their land into IWH, IWH would effectively own 7,367 acres of prime land in Johor as most of these lands are located within prime areas, which are Danga Bay, Plentong, and Johor central business district (CBD).

“Citing its press release, its Johor lands have a total open market value (OMV) of circa RM30 billion that is assessed by independent valuers for its 7,367 acres of prime land-bank in Johor, which implies an average market price of RM93.5psf,” it estimated.

As for its Bandar Malaysia land (486 acres) with an effective stake of 36 per cent, Kenanga Research noted that it would only be injected into IWH after the land gazette is lifted.

“Based on an illustrative selling price of RM2,000 psf, Bandar Malaysia alone would carry a total market value of RM42. billion and at 36 per cent stake, this will add another RM15.2 billion to its Johor land market value of RM30 billion.

“This implies a combined market value of RM45.2 billion for its land, which management intends to monetise through land sales in the future.”

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China Railway Engineering Corporation (CREC) is the group with the largest construction market in China. Annual turnover is in excess of USD105 billion.

The strengthening of the Ringgit against US Dollars is also a plus point for the realisation of Bandar Malaysia.

The recent announcement at London Stock Exchange on the amicable resolution reached between 1MDB and IPIC also should pave for better financing options for TRX City as the master developer.

If the initial indicative value for Bandar Malaysia now should be at an addendum premium of 10% after two years, the sum would stand in the neighbourhood of RM13.5 billion.

Just taking the same formula, MOF is able to realise value of Bandar Malaysia at RM5.4 billion . If the premium is double, then the value is in the neighbourhood of RM15 billion.

According the Borneo Post story, the illustrative GDV for the whole 486 acres of Bandar Malaysia development stood at the neighbourhood of RM42 billion when fully realised.

If this is the illustrative for MOF Inc. the realise the GDV for incoming parcel developers, then entire development eventually realise healthy proceeds for the Federal Government coffer.

Despite when IWH-CREC the master developer for Bandar Malaysia, the Malaysian interest stood at 64% (MOF Inc 40%, IWH 24%), the question of “Selling Malaysian sovereignty to China” no longer arise now as TRX City is 100% owned by MOF Inc.

Hence, Bandar Malaysia is not only open for business, it is Malaysian business.

*Updated 2359hrs

Master developer of Bandar Malaysia IWH-CREC reacted adversely with TRX City announcement.

The Edge Market story:

IWH CREC disputes TRX City’s claims over lapsed Bandar Malaysia stake sale deal

May 03, 2017 21:09 pm MYT

KUALA LUMPUR (May 3): IWH CREC Sdn Bhd, a 60:40 joint-venture between Iskandar Waterfront Holdings Sdn Bhd (IWH) and China Railway Engineering Corp (M) Sdn Bhd (CREC), has disputed claims by TRX City Sdn Bhd over the sale of a 60% equity interest in Bandar Malaysia Sdn Bhd.

“IWH CREC is concerned with the content of the termination notice and the subsequent press release issued by TRX City, which, given the factual matrix, does not fully and accurately reflect the circumstances and conduct of the parties in this matter,” IWH CREC said in statement today.

“IWH CREC takes this matter very seriously and is at present reviewing the content of the termination notice and press release with its advisors and legal counsel,” it added.

“A further announcement on this matter will be made in due course.”

Earlier today, TRX City announced that the share sale agreement that it had inked with IWH CREC in December 2015 had lapsed “despite repeated extensions being granted, making the agreement null and void with immediate effect”.

Following this, TRX City had said that it is immediately inviting expressions of interest for the role of master developer of Bandar Malaysia, with full ownership being preserved by the Ministry of Finance.

TRX City has spelt out strict criteria in selecting the new bid, which include “track record, speed of delivery and financial capability for such large-scale development”.

************

Published in: on May 3, 2017 at 18:30  Leave a Comment  

Phase II, ‘Carve Out and Compete’

Prime Minister Dato’ Sri Mohd. Najib Tun Razak announces the Second Phase of the Bumiputra Transformation Economic Roadmap (BTER) as part of the Bumiputra Agenda, which encompass the strategy of ‘Carve Out and Compete’.

Five main thrusts define the strategy;

  1. Economies and scale and passage to grow. Bumiputra corporations would be supported, facilitated and encouraged to grow into the market.
  2. Empowering the talents of Bumiputra. Government would make it a national agenda to facilitate and support the building of talents amongst Bumiputra, in any fields be it academic, commercial, science and technology, professional, arts and culture and sports
  3. Improve the resilience of Bumiputra entrepreneurs. Special programs such as Skim Jejak Jaya Bumiputra identify highly potential Bumiputra companies and being nurtured with the target to be listed in Bursa Malaysia.
  4. Enabling the social mobility amongst Bumiputra. Bumiputra entrepreneurs would be facilitated and supported to explore and strengthen their trade beyond our waters, as part of the social mobility transformation plan with increasing the quality of life to another level.
  5. The holistic transformation for the Bumiputra

‘Carve Out and Compete’ is basically to carve out portion of the economic cake to be set aside for Bumiputra entrepreneurs and they would utilise this opportunity to grow and compete their trade for their keep.

It is sophisticated affirmative action as a multiplication effect for Bumiputra entrepreneurs to make up for the opportunity available in the market and further on, explore elsewhere.

Prime Minister Najib earlier said that since the Transformation Agenda was first laid and realised, the household income of a Bumiputra family 2012-2014  had risen by 24%.

He also stressed to ensure the interests of the Bumiputra, be it in the urban or rural, Muslim or Non Muslim, would continuously be looked after and transformed, with no expense to any quarters.

It is not just a ‘Bumiputra Agenda’ but actually, ‘National Agenda’.

The full text of Prime Minister Najib’s speech:

  • Sila Semak Semasa Penyampaian

    UCAPAN OLEH

    YAB DATO’ SRI MOHD NAJIB BIN TUN HAJI ABDUL RAZAK

    PERDANA MENTERI MALAYSIA

    MAJLIS PELANCARAN

    HALATUJU TRANSFORMASI EKONOMI BUMIPUTERA 2.0

    PADA 19 APRIL 2017 (RABU), PUKUL 3.30 PETANG

    DI DEWAN UTAMA, PUSAT KONVENSYEN KUALA LUMPUR (KLCC)

    KUALA LUMPUR

    —————————————————————————————

Bismillahir Rahmanir Rahim,

Alhamdulillahi Rabbil A’lamin wa biHi Nastai’n,

Ucapan selawat dan salam ke atas Nabi Muhammad SAW,

 

Assalamualaikum Warahmatullahi Wabarakatuh,

Salam Sejahtera, Salam Negaraku dan Salam 1Malaysia,

 

Yang Amat Berhormat Dato’ Seri Dr Ahmad Zahid Hamidi;

Timbalan Perdana Menteri,

 

Yang Berhormat Dato’ Abdul Rahman Dahlan;

Menteri di Jabatan Perdana Menteri,

 

Yang Berhormat Menteri-Menteri dan Timbalan-Timbalan Menteri,

 

Ahli-ahli Majlis Ekonomi Bumiputera,

 

Yang Berbahagia Dato’ Husni Salleh;

Ketua Pegawai Eksekutif TERAJU,

 

Seterusnya, Tuan-Tuan dan Puan-Puan serta Rakyat Malaysia Yang Dikasihi Sekalian,

 

  1. Pertama sekali, marilah sama-sama memanjatkan rasa syukur ke hadrat Allah Hu Taa’la, di atas limpah Izin dan KurniaNya, dapatlah kita berhimpun pada petang yang berbahagia ini, di Dewan Utama Pusat Konvensyen Kuala Lumpur, bagi menjayakan satu majlis yang amat bererti kepada Bumiputera, Malaysia.

 

  1. Sesungguhnya, saya diberitahu, di hadapan saya ini antaranya terdiri daripada lebih kurang 1,500 orang hadirin, yang majoritinya merupakan direct beneficiaries atau penerima langsung manfaat kepada program-program Kerajaan, atau dalam ertikata lain, tuan-tuan dan puan-puan adalah saksi dan bukti terhadap pelbagai usaha Kerajaan, dalam memperkasakan Agenda Bumiputera.

 

  1. Makanya, program hari ini, sebenarnya adalah susulan daripada inisiatif Halatuju Transformasi Ekonomi Bumiputera pada tahun 2011, yang kemudiannya diperkukuhkan lagi dalam satu majlis bersejarah pada 14 September 2013, iaitu Pemerkasaan Ekonomi Bumiputera di Universiti Teknologi Mara, Shah Alam.

 

  1. Sebelum saya berbicara lebih lanjut, elok dihimbau daripada segi sejarahnya, dasar berkaitan Bumiputera yakni Dasar Ekonomi Baru yang lebih dikenali sebagai DEB, telah digagaskan oleh Allahyarham Tun Abdul Razak, pada tahun 1971.

 

  1. Dasar ini telah terbina sebagai satu instrumen untuk mengimbangi jurang antara kaum yang meruncing ketika itu sehingga terjadinya rusuhan, baru kira kira 12 tahun selepas negara mencapai kemerdekaan.

 

  1. Realitinya, Tuan-Tuan dan Puan-Puan, walaupun dasar ini telah berlangsung secara rasminya sehingga awal 1990an, namun secara umumnya, bukan sahaja roh dan semangat, bahkan prinsip serta falsafah DEB masih kekal membara dan berhembus segar, terus dilaksanakan sehingga ke hari ini.

 

  1. Di era 1990an, membawa kepada tahun 2010, pelbagai wawasan, dasar dan misi Nasional, telah terus berkesinambungan, melaksanakan Agenda Bumiputera.

 

  1. Justeru, selepas saya mengambil alih kepimpinan negara selaku Perdana Menteri, saya melihat inisiatif, prakarsa dan perjuangan terhadap kepentingan Bumiputera, sewajibnya terus menjadi Agenda Utama.

 

Tuan-Tuan dan Puan-Puan,

 

  1. Sesungguhnya, justifikasi kepada kenapa pihak Kerajaan mesti prihatin dan memikul tanggungjawab yang besar terhadap Agenda Bumiputera, adalah kerana menurut statistiknya, terkini, daripada segi jumlah kependudukannya pun, masyarakat Bumiputera mewakili seramai 6 peratus daripada keseluruhan rakyat Malaysia yang berjumlah 31.7 juta orang.

 

  1. Diunjurkan pula, jumlah ini akan mencecah 69.1 peratus, kira-kira 3 tahun dari sekarang, dan apabila tibanya tahun 2030, akan mencapai 7 peratus.

 

Tuan-Tuan dan Puan-Puan,

 

  1. Bercakap tentang Bumiputera dan tuntutan untuk memelihara kepentingannya, ia sangat jelas termaktub di dalam Perlembagaan Persekutuan antaranya melalui Perkara 153, yang menyebut bahawa, hak-hak keistimewaan orang-orang Melayu dan Bumiputera, baik di Semenanjung, Sabah mahupun Sarawak,…

 

mesti dilindungi, mesti dipelihara dan semestinya dipertahankan sampai bila-bila.  

 

  1. Oleh itu, adalah amat wajar bagi pihak Kerajaan, yang ditunjangi oleh UMNO dan Barisan Nasional, bukan sahaja untuk terus memperjuangkan kepentingan orang-orang Melayu serta Bumiputera Islam dan bukan Islam, bahkan kekal memartabatkannya sebagai Agenda Nasional.

 

  1. Namun demikian, pihak Kerajaan sentiasa beringat-ingat bahawa, dalam memperjuangkan Agenda Bumiputera, ia bukan bermakna kita sewenangnya boleh mengambil hak orang lain. Sebaliknya, secara beriring-iring dan selari, Kerajaan wajib menjaga kepentingan sah kaum-kaum yang ada di negara ini.

 

  1. Begitulah dengan berpegang kepada prinsip-prinsip tersebut dan juga hasil daripada pelbagai dasar, kita telah menyaksikan bagaimana sejak tahun 1970, kadar kemiskinan yang dahulunya pada tahap 3 peratus, telah berkurangan kepada 3.8 peratus pada tahun 2009, dan terus menyusut kepada 0.6 peratus pada tahun 2014.

 

  1. Yang lebih membanggakan kita, atas segala usaha Kerajaan Barisan Nasional sejak berpuluh-puluh tahun, dan suka saya ulangi dalam ucapan di mana-mana bahawa, faktanya,… kemiskinan tegar di Malaysia,… kini telah hampir disifarkan kesemuanya.

 

Tuan-Tuan dan Puan-Puan,

 

  1. Bercakap tentang hal Bumiputera, sejak mencapai kemerdekaan, Kerajaan telah berjaya mewujudkan pelbagai instrumen dan institusi, demi kepentingan Melayu serta Bumiputera antaranya, Lembaga Tabung Haji, FELDA, RISDA, FELCRA, UDA, DARA, JENGKA, KETENGAH, KESEDAR, MARA dan UiTM.

 

  1. Ternyata, institusi-institusi Bumiputera ini telah berjaya membawa banyak manfaat kepada pemerkasaan ekonomi dan pendidikan Bumiputera.

 

  1. Sebagai contohnya, Lembaga Tabung Haji Malaysia yang telah diiktiraf sebagai institusi terbaik dalam pengurusan haji dan perkhidmatan kewangan Islam yang inovatif oleh kebanyakan negara Islam di dunia.

 

  1. Menyentuh hal perjuangan agenda Bumiputera di bidang pendidikan pula, pastinya, kita tidak dapat tidak, terus mengangkat tinggi Universiti Teknologi Mara. Apa yang ingin saya tegaskan ialah, Kerajaan terus tegar dalam memperjuangkan agenda pendidikan Bumiputera.

 

  1. Justeru, Kerajaan mensasarkan supaya pengambilan pelajarnya mencapai seramai 250 ribu orang menjelang tahun 2020. Setakat bulan November 2016 sahaja, bilangan pelajarnya telah mencecah lebih 165 ribu orang, di 36 kampus UiTM seluruh negara.

 

  1. Apa yang paling membanggakan kita, UiTM sebagai institusi Bumiputera, telah berjaya melahirkan seramai lebih 700 ribu graduan anak-anak Melayu dan Bumiputera yang berjaya, antaranya menjadi golongan profesional dan teknokrat di pelbagai bidang serta sektor. Semoga terus maju jaya dan tahniah kepada UiTM!

 

  1. Tidak terhenti setakat itu, melalui program Jelajah Pendidikan Bumiputera, kita telah berjaya membantu 37,324 orang pelajar Bumiputera yang tercicir, miskin dan kurang berkemampuan, untuk menyambung pendidikan ke peringkat pendidikan tinggi.

 

  1. Bahkan, pada tahun ini, saya mahukan sekurang-kurangnya, seramai 50 ribu lagi pelajar Bumiputera dibantu melalui inisiatif ini. Program ini melibatkan usaha pencarian hingga ke desa-desa, demi membela untung nasib anak-anak Bumiputera di pedalaman.

 

Tuan-Tuan dan Puan-Puan,

 

  1. Seperti yang ramai maklum, dalam era pentadbiran Kerajaan sekarang ini pula, kita telah memperkenalkan Dasar Transformasi Nasional atau DTN semenjak tahun 2010.

 

  1. Dasar ini, memayungi terutamanya, Program Transformasi Nasional atau NTP yang bersifat inklusif, sebagai pemangkin untuk Malaysia menjadi sebuah negara maju High Income Advanced Economy dalam tempoh beberapa tahun lagi.

 

  1. Di bawah DTN juga, terdapat antara lain, Program Transformasi Kerajaan dan Ekonomi, Program Transformasi Politik serta Program Transformasi Sosial.

 

  1. Jika kita andaikan secara metafora, seperti yang boleh dilihat di layar putih, framework atau kerangka utama membina kejayaan Malaysia, bumbungnya adalah Dasar Transformasi Nasional, yang dipancang oleh tiang-tiang seri atau tonggak-tonggak yang menunjang DTN, seperti saya sebutkan tadi.

 

  1. Seluruh struktur ini, berlantaikan pula, kemajmukan rakyat yang berpegang kepada prinsip dan falsafah 1Malaysia.

 

  1. Jadinya, pada hemah saya, bertolak daripada itu, sebarang dasar yang melibatkan Bumiputera, tidak boleh menjadi satu program yang bersifat tersendiri, terasing atau stand alone. Dalam ertikata, bukan juga hanya menjadi salah satu tiang yang menonggak Dasar Transformasi Nasional.

 

  1. Lalunya, sekali lagi, jika kita melakarkan ibarat, dasar dan Agenda Bumiputera, sewajibnya terangkum serta bersifat all encompassing yakni merentasi setiap daripada tiang-tiang utama yang menjunjung Dasar Transformasi Nasional.

 

Tuan-tuan dan Puan-Puan,

 

  1. Menelusuri proses pembikinan Malaysia sebagai sebuah negara bangsa, yang berdaulat lagi merdeka, kita telah bertatih, bertapak dan berjalan jauh selama 60 tahun ini, membangunkan negara ini melalui pelbagai dasar, rancangan serta inisiatif tanpa kunjung jemu.
  2. Kita bermula sebagai sebuah negara yang kecil, berasetkan kemajmukan rakyat, bergantung kepada hasil pertanian, bahkan kenangan manis Belanjawan pertama negara pabila dibentangkan, hanya pada nilai 888 juta. Sekarang, setelah 6 dekad berlalu, Bajet 2017 menyaksikan telah meningkat sebanyak hampir 300 kali ganda nilainya iaitu, 8 bilion ringgit.

 

  1. Seterusnya, jika dibandingkan dengan Laporan Tahunan Program Transformasi Nasional, yang akan masuk tahun keenam pembentangannya tanggal 23 Mei 2017 nanti, inisiatif Halatuju Transformasi Ekonomi Bumiputera yang dimulakan pada tahun 2011, kini telah memasuki fasa kedua dari tahun 2017 sehingga tahun 2025, yakni sekitar 8 tahun dari sekarang.

 

  1. Justifikasinya, jika kini, pada keseluruhan nilaian ekonomi dan dagangan semasa negara, yakni 3 trilion ringgit, kek penyertaan, kekayaan dan penglibatan Bumiputera di bidang ekonomi, menurut laporan Unit Perancang Ekonomi atau EPU, sejak 2012 hingga 2014, kadar kenaikan purata pendapatan kasar isi rumah Bumiputera adalah sebanyak 24.5 peratus, lebih tinggi dari kadar kenaikan purata pendapatan kasar negara.

 

  1. Melihat kepada peratusan ini, bagi tahun-tahun yang mendatang, dalam istilah yang mudah, apa yang saya ingin lihat tentang kedudukan dan pencapaian ekonomi Bumiputera, adalah bertolak dari mana kita berada sekarang, dan ke manakah halatuju selanjutnya, berbanding dahulu.

 

  1. Oleh itu, sebagai langkah memperkasakan agenda Bumiputera, selaras dengan hasrat Kerajaan untuk menjadi sebuah ekonomi 2 trilion ringgit menjelang 7 hingga 8 tahun dari sekarang, maka pada hari ini, selain daripada kita melaporkan kisah-kisah kejayaan, kita akan melancarkan satu lagi inisiatif yang besar oleh TERAJU iaitu, Halatuju Transformasi Ekonomi Bumiputera 2.0.

 

KEJAYAAN DAN PENCAPAIAN EKONOMI BUMIPUTERA SEJAK 2011

 

Tuan-Tuan dan Puan-Puan,

 

  1. Justeru kini, saya ingin melaporkan kisah-kisah kejayaan Bumiputera sebentar lagi, yang telah dilakar melalui pelbagai inisiatif TERAJU, selaku Agensi Pelaksana kepada Majlis Ekonomi Bumiputera sejak ia ditubuhkan.

 

  1. Seperti yang disebutkan, pada tahun 2011, saya telah melancarkan Hala Tuju Transformasi Ekonomi Bumiputera, yang mempunyai dua matlamat penting iaitu pertama, memperkukuhkan penyertaan Bumiputera dalam ekonomi negara melalui penciptaan kekayaan dan keduanya, penyertaan seimbang dalam guna tenaga bidang bernilai tinggi serta pembangunan keusahawanan.

 

  1. Dalam Fasa Pertama inisiatif Bumiputera di bawah DTN ini, antaranya lahirlah inisiatif Syarikat Bumiputera Berprestasi Tinggi atau TERAS, Dana Mudah Cara dan Yayasan Peneraju Pendidikan Bumiputera. Alhamdulillah, kerana inisiatif ini telah membuahkan pelbagai kejayaan.

 

  1. Menerusi program TERAS sebanyak 1,014 buah syarikat telah diberikan sokongan dalam bentuk pembinaan kapasiti dan sokongan pembiayaan.

 

  1. Di bawah program ini, Kerajaan telah mewujudkan Dana TERAS bercagarkan 332 juta ringgit, dan telah menarik penyertaan lima buah institusi iaitu SME Bank, RHB Islamic, Maybank, MIDF dan Malaysian Debt Ventures, yang memberi serta menggandakan kemudahan pembiayaan kepada 14 bilion ringgit.

 

  1. Suka saya maklumkan sehingga Mac 2017, sebanyak 306 buah syarikat TERAS telah menerima kelulusan pembiayaan bagi pembelian aset dan modal kerja bernilai 3 bilion ringgit.

 

  1. Dalam hal ini, saya ingin menceritakan dua kisah kejayaan syarikat TERAS, iaitu System Consultancy Services Sdn Bhd atau SCS, yang telah berjaya memecah monopoli syarikat luar negara dalam perkhidmatan IT yang berkaitan tentang industri pertahanan.

 

  1. Begitu jugalah kepada AUEI Teras Holdings Sdn Bhd, sebuah syarikat pembangunan dan pelaburan hartanah dari Kota Bharu, Kelantan, yang bermula hanya mengendalikan projek bernilai lebih 25 juta ringgit, telah melonjak kepada lebih 300 juta ringgit.

 

  1. Tepukan syabas kepada Pengarah Urusan kedua-dua syarikat tersebut iaitu, saudara Mat Asis Mahnoon dan saudari Rita Sarbani binti Ismail!

 

Tuan-Tuan dan Puan-Puan,

 

  1. Selanjutnya, Dana Mudahcara adalah satu insentif bagi menggalakkan pelaburan swasta Bumiputera yang mana sebanyak 469 buah projek telah mendapat kelulusan pembiayaan.

 

  1. Hasilnya, syarikat-syarikat Bumiputera tersebut telah membuat pelaburan domestik bernilai 18 bilion ringgit iaitu 8.4 kali ganda dari nilai geran yang diberikan oleh Kerajaan, sekaligus mewujudkan lebih 43 ribu peluang pekerjaan.

 

  1. Sebagai contoh syarikat SMR Aquaculture Sdn Bhd telah menerima geran sebanyak 6 juta ringgit, untuk menjalankan perniagaan serampang 3 mata iaitu akuakultur, pertanian hidroponik dan pengeluaran tenaga solar di Tawau, Sabah.

 

  1. Projek yang bernilai 35 juta ringgit ini akan merangsang industri pelancongan Sabah dan mewujudkan peluang pekerjaan. Justeru, marilah kita berikan tepukan tahniah kepada saudara John Nip yang berketurunan Sino-Kadazandusun!

 

Tuan-Tuan dan Puan-Puan,

 

  1. Manakala dalam hal kejayaan Yayasan Peneraju Pendidikan Bumiputera pula, bermatlamat untuk memberi peluang kepada pelajar Bumiputera mendapatkan pendidikan dan pekerjaan lebih baik.

 

  1. Misalannya, saya begitu tersentuh dan berasa bangga dengan pencapaian Adik Auni Wadhiah Azahar, pelajar berumur 15 tahun, dari SMK Agama Dato’ Haji Abbas, Terengganu, kini tinggal bersama ibunya, yang berpendapatan 700 ringgit sebulan sebagai tukang jahit.

 

  1. Namun melalui program Peneraju Tunas Geliga, Alhamdulillah, pada tahun 2016, atas kegigihannya telah berjaya mendapat keputusan cemerlang dengan memperoleh 11A di dalam peperiksaan PT3. Marilah kita berikan tepukan tahniah dan Selamat Maju Jaya kepada Adik Auni!

Tuan-Tuan dan Puan-Puan,

 

  1. Melalui sidang Pemerkasaan Ekonomi Bumiputera pada tahun 2013, lahirnya pula antara yang terpenting adalah Majlis Ekonomi Bumiputera atau MEB, Skim Permulaan Ekonomi Bumiputera atau SUPERB dan Unit Pemerkasaan Ekonomi Bumiputera.

 

  1. Sebagai membuktikan komitmen Kerajaan terhadap agenda Bumiputera, MEB yang dipengerusikan oleh saya sendiri dan kita telah menetapkan ia bersidang sekurang-kurangnya setiap sebulan sekali dan jika berkeperluan lebih dari sekali, dengan memanggil pelbagai pihak Bumiputera yang berkepentingan menurut isu yang berbangkit untuk dibincang serta diselesaikan.

 

  1. Demikianlah tingginya martabat yang diletakkan oleh Kerajaan pimpinan saya, terhadap ehwal Bumiputera, kerana dalam hierarki kekerapan mesyuarat utama selepas Kabinet, saya letakkan mesyuarat berkaitan Bumiputera.

 

  1. Malah, tidak pernah diperbuat sebelum daripada ini, ditubuhkan Unit Pemerkasaan Ekonomi Bumiputera di semua 24 kementerian termasuk Jabatan Perdana Menteri.

 

  1. Bahkan, saya telah mengarahkan agar agenda Bumiputera menjadi pertimbangan penting pada sebarang keputusan GLC dan GLIC.

 

  1. Menerusi SUPERB yang memperuntukkan sejumlah 100 juta ringgit sebagai modal permulaan, setakat ini telah berjaya membantu seramai 125 orang anak muda di bawah umur 40 tahun, merealisasikan idea perniagaan mereka yang inovatif, dengan jumlah keseluruhan geran bernilai 5 juta ringgit.

 

  1. Saya mahu mengambil contoh kejayaan saudara Muhamad Nuruzon Wagiman, berusia 26 tahun yang berasal dari Muar, Johor.
  2. Beliau telah menubuhkan Nuruzon Technology Resources Sdn Bhd dengan membina sebuah bengkel yang lebih bersistematik dan mempunyai O.P. dalam pembuatan jentera gerabak. Kepada anak muda berjiwa kental ini, syabas diucapkan!

 

Tuan-Tuan dan Puan-Puan Sekalian,

 

  1. Melalui kedua-dua Agenda Pemerkasaan Ekonomi Bumiputera pada tahun 2011 dan 2013 tersebut, Alhamdulilah, setakat Mac 2017, sejumlah 108 bilion ringgit berjaya dijana melalui kesemua inisiatif Bumiputera.

 

  1. Daripada jumlah tersebut, sebanyak 80 bilion ringgit adalah daripada peluang perniagaan Bumiputera, khususnya 54 bilion ringgit melalui dasar “Carve-out and Compete.”

 

  1. Contoh terbaik Carve Out and Compete yang ingin saya kongsikan adalah kejayaan fasa pertama projek InfraRakyat mega yakni MRT Jajaran Sungai Buloh-Kajang sepanjang 51 kilometer.

 

  1. Bagi projek MRT Fasa 1 sahaja, daripada nilai pakej pembangunan projek 2 bilion ringgit, sebanyak 51 peratus telah diberikan kepada kontraktor Bumiputera.

 

  1. Mustahaknya tuan-tuan dan puan-puan, dalam penganugerahan kontrak atau tender, if we choose the right Bumiputera, dalam erti kata bukan sekadar atas dasar kawan mahupun kroni, tetapi kalau kenalan sekalipun, mestilah Bumiputera yang berdasarkan merit dan kebolehan.

 

  1. Ini akan mempastikan kontraktor berjaya menyiapkan projek mengikut jadual dan menepati bajet kos pembinaan yang ditetapkan.

 

  1. Bahkan, Kerajaan komited untuk menyediakan 50 peratus tempat-tempat perniagaan baru lain yang strategik seperti di stesen-stesen MRT, sebagai memberi ruang dan membuka peluang kepada usahawan Bumiputera. Tidak lagi di tempat-tempat yang gelap, tersorok dan langsung tidak mempunyai daya komersial.

 

Tuan-Tuan dan Puan-Puan,

 

  1. Lantaran demikian, pada perjumpaan penuh bermakna lagi bersejarah ini, kita akan menongkah Halatuju Transformasi Ekonomi Bumiputera yang selanjutnya.

 

  1. Pucuk pangkalnya, kita tidak boleh berhenti setakat ini atau berasa selesa dan berpuas hati berada pada takuk yang sama, iaitu menjadi jaguh kampung semata-mata.

 

  1. Untuk itu, hasil dapatan daripada Makmal Sindikasi Hala Tuju Transformasi Ekonomi Bumiputera 2.0, beberapa penambahbaikan telah diterima dan akan diberi pertimbangan.
  2. Lantaran itu, bagi membawa komuniti dan usahawan Bumiputera yang lebih berfokus, berdaya maju, kreatif serta inovatif dan bersedia untuk bersaing di peringkat global, pada petang ini saya ingin membentangkan satu lembaran berwajah baharu kepada perjuangan memperkasakan Agenda Bumiputera, yang saya namakan sebagai,… Transformasi Kesejahteraan Bumiputera atau TKB.

 

  1. Kenapa T.K.B.,…? Kerana jika sebelum ini, Agenda Bumiputera lebih tertumpu kepada sudut ekonomi sahaja.

 

  1. Maka, pada hari ini, apa yang saya mahukan ialah Transformasi Kesejahteraan Bumiputera ini bersifat inklusif atau terangkum lagi holistik.

 

  1. Maksudnya di sini, dalam membela dan memperkasakan Agenda Bumiputera, ia tidak terhad kepada bidang-bidang tertentu seperti ekonomi semata-mata,…

 

  1. Bahkan lebih mustahak dan jauh daripada itu, Transformasi Kesejahteraan Bumiputera ini, turut merangkumi segenap aspek Kesejahteraan Hidup seperti pendidikan, kesihatan, sosial dan budaya, duduk dalam persekitaran yang selesa serta dinamik, seraya membela untung nasib serta mengangkat martabat Bumiputera ke tahap yang lebih tinggi.

 

Tuan-Tuan dan Puan-Puan Sekalian,

 

  1. Sesungguhnya lagi, Transformasi Kesejahteraan Bumiputera sebagai memasuki Fasa Kedua yang berasaskan kepada Lima Transformasi Utama Bumiputera:

 

  1. Pertamanya: Dengan Cara Melonjakkan Skala Bumiputera. Seperti yang kita maklumi, terdapat pelbagai fasa dan kategori syarikat Bumiputera di Malaysia, dari yang berskala kecil atau mikro, sederhana hinggalah kepada yang berskala besar dan bertaraf antarabangsa.

 

  1. Justeru, apa yang kita mahukan adalah, mempastikan setiap syarikat Bumiputera ini mempunyai laluan yang jelas dari fasa permulaan perniagaan sehingga fasa matang seperti sebuah syarikat Multi-Nasional Bumiputera.

 

  1. Ertinya di sini, bagi setiap peringkat perniagaan, Kerajaan telah menyediakan pelbagai kemudahan, sebagai pemangkin untuk sesebuah perniagaan itu meningkat maju ke fasa yang selanjutnya.

 

  1. Misalnya, sesebuah perniagaan mikro berpeluang menjadi syarikat SME, dan seterusnya menjadi syarikat besar yang mampu menjana pendapatan lumayan serta satu hari nanti, tersenarai di Bursa Saham, dan berkebolehan untuk mengeksport produk ke luar negara.

 

  1. Sebagai contoh, Kerajaan memperkenalkan Skim Jejak Jaya Bumiputera atau SJJB bagi membantu meningkatkan jumlah syarikat untuk disenaraikan secara kolaborasi dengan Ekuiti Nasional atau EKUINAS.

 

  1. Pada tahun 2011, program SJJB telah diletakkan di bawah TERAJU di mana pada ketika itu sebanyak 5 syarikat Bumiputera telah berjaya disenaraikan di Bursa Malaysia dengan jumlah nilai modal pasaran yang direkodkan ketika itu hanyalah sebanyak 969 juta ringgit

 

  1. Syukur,… Kini, program SJJB telah berjaya menambah 8 lagi syarikat Bumiputera ke Bursa Malaysia dan telah mencatatkan jumlah nilai pasaran sebanyak 8 billion ringgit.

 

  1. Jika dibandingkan dengan nilai pasaran mereka ketika IPO, kesemua 13 syarikat SJJB ini telah mencatatkan pertumbuhan nilai modal pasaran sebanyak 5 billion ringgit.

 

  1. Contoh terkini, Serba Dinamik Holdings Berhad dari Sarawak, merupakan syarikat yang ke-13 dari program ini, selepas hanya satu bulan disenaraikan, modal pasarannya telah meningkat sebanyak 20 peratus iaitu daripada 2 bilion ringgit kepada 4 bilion ringgit pada Mac 2017. Tahniah kita ucapkan!

 

Tuan-Tuan dan Puan-Puan,

 

  1. Merujuk kepada usahawan mikro pula, melalui dapatan Makmal Sindikasi TKB, secara puratanya terdapat sembilan daripada 10 buah syarikat Bumiputera di negara ini yang masih berskala mikro.

 

  1. Justeru itu, saya menyarankan agar organisasi dan syarikat besar yang mendapat kontrak serta konsesi Kerajaan termasuklah GLIC dan GLC untuk melaksanakan Dasar Mesra-Bumiputera Mikro dan Kecil.

 

  1. Seterusnya, program penembusan pasaran atau market access akan diperkenalkan sebagai sebahagian daripada program pembangunan keusahawanan, terutamanya dalam e-dagang atau e-commerce.

 

  1. Juga, untuk meluaskan pasaran perniagaan mereka, usaha pengantarabangsaan syarikat-syarikat Bumiputera akan dilaksanakan termasuklah pembangunan produk dan perkhidmatan yang memenuhi spesifikasi eksport atau export-ready, pembangunan pusat pengedaran di luar negara dan kerjasama dengan MATRADE.

 

  1. Jelas sekali, TKB diperlukan bagi memastikan pelan-pelan dapat dilaksanakan secara berkesan dalam setiap fasa ini.

 

 

Tuan-Tuan dan Puan-Puan,

 

  1. Transformasi Kesejahteraan Bumiputera yang keduanya ialah dengan cara Memperkasakan Modal Insan Bumiputera. Sebagai penduduk majoriti di negara ini, seharusnya, Bumiputera menjadi penyumbang utama kepada pembangunan dan ekonomi negara, termasuklah di bidang akademik, agama, sains teknologi, kebudayaan mahupun sukan.

 

  1. It is my hope and dream, to see we produce world class sportsmen, more world class scientists, artists, novelists and InsyaAllah, one day, Nobel Prize winners.

 

  1. Sebenarnya, pemerkasaan modal insan kaum Bumiputera, bukan sahaja terhad kepada peningkatan ilmu pengetahuan dan kemahiran semata-mata, tetapi juga peningkatan jati diri dari segi jasmani dan rohani.

 

  1. Dari perspektif ekonomi pula, pemerkasaan modal insan haruslah dibina untuk mensiap-siagakan kaum Bumiputera menghadapi pelbagai arus cabaran dari dalam dan luar negara.

 

  1. Menjengah sudut pemikiran dan budaya kerja, untuk maju dan bergerak ke hadapan, kita seharusnya mampu melakukan anjakan paradigma supaya tidak terperangkap dalam kepompong pemikiran konvensional.

 

  1. Apabila kita menuju Transformasi Kesejahteraan Bumiputera, ia bererti dasar Bumiputera yang melahir dan mencerminkan budaya tinggi, high order thinking skills, high performance culture dan high resilience, yang sesekali tidak mudah menyerah kalah.

 

  1. Malah, sudah sampai masanya untuk kita menjadikan kreativiti dan inovasi sebagai pemacu kepada penjanaan kekayaan dan berdaya maju agar usahawan atau syarikat Bumiputera mampu berdiri sama gagah, bersaing megah dengan usahawan-usahawan lain.

 

  1. What is important here, we Bumiputera have the capacity to be at par with the rest as long as we are willing to shift our paradigm and embrace innovation.

 

  1. Makanya, yakinlah pada kebolehan diri sendiri, sepertimana saya yakin dengan kemampuan masing-masing. Maksudnya, untuk anda lebih berjaya, bukan sahaja di halaman sendiri, malah juga menembusi pasaran antarabangsa.

 

Tuan-Tuan dan Puan-Puan,

 

  1. Transformasi Kesejahteraan Bumiputera yang ketiganya ialah dengan cara Meningkatkan Daya Saing Bumiputera.

 

  1. Sebetulnya, kedudukan Bumiputera kini lebih baik dari dahulu. Jika sebelumnya, syarikat Bumiputera sering dikaitkan dengan kontrak yang mahal ataupun kualiti yang kurang memuaskan.

 

  1. Tetapi kini, kita berbangga, mutu kerja dan penyampaiannya adalah tinggi, setanding dengan syarikat bukan Bumiputera, mahupun syarikat antarabangsa.

 

  1. Sebagai contoh, dasar Carve Out and Compete menyediakan ruang dan peluang kepada syarikat Bumiputera untuk mendapat kontrak dan menyertai projek-projek mega yang ditawarkan oleh Kerajaan, GLC dan swasta berdasarkan merit sesama Bumiputera, di samping rekod cemerlang dan keupayaan untuk deliver atau membuat penyampaian.

 

  1. Setelah melihat kejayaan pelaksanaan program ini, Kerajaan berhasrat untuk memperluaskannya beyond projek-projek infrastruktur seperti sektor perkhidmatan.

 

  1. Sukacita saya maklumkan, setakat ini, peluang penyertaan Bumiputera melalui Carve Out and Compete secara keseluruhannya telah mencapai 2 peratus atau bersamaan 54.24 bilion ringgit.

 

  1. Contohnya, Projek Lebuhraya Pan Borneo yang bermula dari jajaran Teluk Melano ke Lawas di Sarawak, sejauh 1,089 kilometer, membawa ke Sabah dari Sindumin hingga ke Tawau, sepanjang 1,236 kilometer, program Carve Out dan Compete dijangka akan mencecah 60 peratus penyertaan kontraktor Bumiputera.

 

  1. Bercakap tentang industri pembinaan ini, suka saya menyentuh tentang kaedah Industrialised Building System atau IBS yang melibatkan kos yang rendah, penjimatan masa pembinaan dan bersifat lestari.

 

  1. Oleh itu, kita akan menumpukan penggunaan teknologi IBS ini di dalam kebanyakan projek-projek Kerajaan, dan   saya mahu serta galakkan lebih banyak penyertaan kontraktor Bumiputera dalam bidang teknologi IBS ini.

 

  1. Melalui contoh-contoh di atas, saya menyarankan agar syarikat-syarikat Bumiputera yang lain perlu mengambil contoh kejayaan itu, membina daya saing yang tinggi, terutamanya dalam menghadapi pasaran terbuka di arena global.

 

Tuan-Tuan dan Puan-Puan,

 

  1. Transformasi Kesejahteraan Bumiputera yang keempatnya ialah dengan cara Mendaya Mobiliti Sosial Bumiputera.

 

  1. Sesungguhnya, Kerajaan amat prihatin dan mementingkan kesejahteraan hidup rakyatnya. Apa yang kita hasratkan dari masa ke semasa, Kerajaan dapat membantu meningkatkan status ekonomi dan kualiti hidup rakyatnya kepada yang lebih baik serta selesa.

 

  1. Dalam konteks Malaysia, mobiliti sosial yang Kerajaan mahukan ialah berlakunya peningkatan taraf hidup rakyat daripada kepompong persekitaran yang rendah kepada tahap yang lebih tinggi. Ia juga boleh dilihat dari pelbagai aspek seperti pendidikan, kemahiran pekerjaan dan pendapatan.

 

  1. Maksudnya, berlaku perubahan status individu dan masyarakat daripada miskin menjadi kaya, mereka yang unskilled dilatih menjadi berkemahiran tinggi serta golongan berpendapatan rendah pula, akan menikmati pendapatan yang lebih tinggi.

 

  1. Malahan, melalui pelaksanaan secara pragmatik oleh Kerajaan, telah meningkatkan mobiliti sosial negara ini menjadi di antara yang terbaik di dunia, setara dengan negara maju seperti Kanada, bahkan lebih baik dari negara Sweden dan Jerman.

 

  1. Contohnya, anak-anak petani dan nelayan di negara ini, cuma melalui satu generasi sahaja, telah mampu memperbaiki taraf kehidupan mereka, sehingga ada yang telah memegang jawatan utama negara seperti profesor, ketua eksekutif dan menteri. Malah, kita juga berjaya dalam beberapa bidang profesional seperti perubatan dan kejuruteraan.

 

  1. Pada sudut ini, Digital Economy atau Ekonomi Digital yang menjadi industry of the future, berpotensi sebagai salah satu lonjakan dalam mobiliti sosial. Justeru, baru-baru ini, saya telah melantik Jack Ma, seorang bilionair terkemuka dari negara China, sebagai Penasihat Khas Ekonomi Digital kepada Kerajaan Malaysia.

 

  1. Malah, pada 23 Mac 2017 pula, saya telah melancarkan Zon Perdagangan Bebas Digital atau DFTZ, hab ekonomi pertama di dunia di luar China, yang memberi tumpuan terhadap pengembangan pasaran digital usahawan PKS dan usahawan muda.

 

  1. Melalui inisiatif seperti ini, Ekonomi Digital dijangka mampu mewujudkan 60 ribu peluang pekerjaan baharu, sekaligus berupaya menyumbang lebih 20 peratus penghasilan kepada KDNK negara.

 

  1. Mustahak untuk difahami oleh Bumiputera bahawa, menjadi hasrat saya apabila DFTZ diwujudkan, ia memungkinkan a level playing field atau padang saingan terbuka bagi Bumiputera bebas-lepas untuk menembus masuk pasaran dengan lebih meluas.

 

  1. Peluang sebeginilah yang sepatutnya usahawan Bumiputera teroka dan ceburi, kerana pada masa ini, saya lihat kebanyakan usahawan Bumiputera hanya menumpukan perniagaan di peringkat domestik sahaja yang mana pasarannya sangat terhad.

 

  1. Jadinya, boleh saya rumuskan bahawa, mobiliti sosial ini perlu terus diperkasakan demi manfaat masyarakat Bumiputera.

 

 

 

  1. Kelimanya ialah dengan men-Transformasi Kesejahteraan Bumiputera secara tuntas dan holistik.

 

Dalam hal ini, sebagai tambahan dan pelengkap kepada 30 peratus ekuiti yang disasarkan melalui DEB, sesuai dengan tuntutan zaman masa kini serta menuju TN50,….

 

Pencapaian ekonomi Bumiputera juga akan diukur dari segi pendapatan korporat dan isi rumah, peningkatan bilangan profesional berdaftar serta penyertaan di peringkat pengurusan dan berkemahiran tinggi.

 

  1. Maknanya, kalau selama ini DEB melihat dari segi pegangan ekuiti Bumiputera dalam sektor korporat sebagai penanda aras, TKB kini mengambil kira dimensi-dimensi yang lebih meluas dalam mengukur kesejahteraan Bumiputera.

 

  1. Sebagai contoh, usaha gigih Kerajaan selama ini telah pun membuahkan hasil di mana, purata pendapatan isi rumah Bumiputera, telah meningkat daripada 3,624 ringgit pada tahun 2009, kepada 5,548 ringgit pada tahun 2014, iaitu sebanyak 53 peratus.

 

  1. Lanjutan itu, TKB ini, bukan sahaja menjadi Agenda Nasional, bahkan ia dijadikan juga sebagai asas kepada dasar-dasar, pelan induk dan tindakan, dalam setiap insiatif yang dilaksanakan oleh Kerajaan yang melibatkan pemerkasaan ekonomi Bumiputera.

 

  1. Bertolak dari itu, hendak saya pertegaskan bahawa, Kerajaan ini merupakan Kerajaan yang bertanggungjawab. Kerajaan ini akan terus berjuang dalam membela untung nasib orang-orang Melayu dan Bumiputera, sama ada Bumiputera Islam mahupun bukan Islam.

 

  1. Semestinya juga, Kerajaan ini akan terus memperjuangkan kepentingan seluruh lapisan rakyat Malaysia, demi keamanan dan kestabilan, makmur serta sejahtera.

 

PENUTUP

 

Tuan-Tuan dan Puan-Puan Serta Rakyat Malaysia Yang Dikasihi Sekalian,

 

  1. Ahli cerdik pandai pernah menyebut bahawa, meski dunia ini dipenuhi dengan persaingan, namun bagi mereka yang bijaksana akan pantas menyerlahkan potensi diri, sentiasa optimis menghadapi segala rintangan dengan penuh daya, sehingga mampu mencapai kejayaan.

 

 

 

 

  1. Kesimpulannya, jika diamati dan dirumuskan, berdasarkan apa yang telah saya sampaikan, menjadi bukti bahawa, impak dasar yang membabitkan Kesejahteraan Bumiputera di negara ini, di mana manfaatnya tetap dan turut dinikmati oleh semua kaum.

 

  1. Oleh itu, kepada orang-orang Melayu serta Bumiputera Islam dan Bukan Islam, yang menginduki negara ini, usahlah berasa gundah serta bimbang, kerana, selagi nyawa dikandung jasad, agenda Transformasi Kesejahteraan Bumiputera atau TKB ini akan tatap kita perjuangkan sampai bila-bila.

 

  1. Atas segalanya, Saya,… bersama-sama dengan YAB Dato’ Seri Dr. Ahmad Zahid Hamidi, berserta barisan Jemaah Menteri, demi Melayu,… demi Bumiputera,… demi rakyat Malaysia seluruhnya,… kita akan bersatu hati, seiya dan sekata, untuk terus berjuang memakmurkan negara, sehingga terjulang berada pada kedudukan negara 20 termaju di dunia.

 

  1. Di atas segalanya, ketahuilah bahawa, setelah 45 tahun berlalu, daripada Dasar Ekonomi Baru yang dimulakan oleh Ayahanda saya, perjuangan saya demi Kesejahteraan Bumiputera bukanlah sekadar di atas sifat dan kedudukan saya selaku pemimpin dan Perdana Menteri, tetapi sebenarnya ia datang dari leluhur saya yang ikhlas dan jujur sebagai seorang pemimpin yang sangat sayang akan jati bangsanya.

 

  1. Pokoknya, kita mahu melihat akan munculnya masyarakat Bumiputera yang dapat merasai setiap daripada detik nikmat kemajuan negara.

 

Kerana itulah erti sebenarnya kesejahteraan dan kemakmuran kepada Bumiputera.

 

  1. Kendati itu, ingatlah bahawa:

 

Negaraku ini Berdaulat Terbilang,

Tanah Tumpah Darah Pejuang,

Meski Diasak Oleh Penentang,

Jangan Sampai Dirampas Orang.

 

Masyarakat Majmuk Formula Keramat,

Walau Didomba oleh Petualang,

Hiduplah Malaysia Damai dan Selamat,

Hak Bumiputera Selamanya Dijulang.

 

  1. Akhirul Kalam, dengan lafaz Bismillahi Rahmanir Rahim, saya dengan sukacitanya melancarkan Transformasi Kesejahteraan Bumiputera.

 

HIDUP BUMIPUTERA!

HIDUP MALAYSIA!

 

Wabillahi Taufik Walhidayah, Assalamualaikum Warahmatullahi Wabarakatuh

*Updated 2100hrs

Published in: on April 19, 2017 at 16:30  Comments (1)  

Fact News

In the age of ‘Fake News’ making its way in the minds of many, facts are often denied even amongst the educated and professional lot through the advancement of ICT technology.

One instance is the financial position of the strategic investment company 1MDB, which was turned from actual commercial problems into scandalous by very irresponsible Malaysians, especially the Opposition.

Malaysiankini story from Parliament this morning:

PM: 1MDB has cleared its bank debts, short-term debts

30 Mar 2017, AM 11:01 (Updated 30 Mar 2017, PM 12:01)

Prime Minister Najib Abdul Razak has said 1MDB, which has incurred debts up to RM50 billion as of January 2016, has cleared all its bank debts and short-term debts.
“For now, 1MDB does not have any bank debt and short-term debt,” said Najib, in his capacity has finance ministry, said in a written parliamentary reply yesterday.
According to the ministry, 1MDB made the following repayments:
Paid off RM229.5 million revolving credit facility to Affin Bank in full by Nov 23, 2015.

Cleared RM950 million standby credit to the government in full by March 31, 2016.

Repaid RM2 billion term loan facility to Marstan Investment NV by April 8, 2016.

Cleared US$150 million term financing facility with EXIM Bank by April 15, 2016.
Najib was responding to Er Teck Hwa (DAP-Bakri) who requested the updated figures on 1MDB’s staff, cash flow, debts and assets.
“Due to the ongoing rationalisation plan of 1MDB, there are no new assets acquired (by the state-owned firm) in the country and overseas, in 2015 and 2016,” added the prime minister.
Under the 1MDB rationalisation plan, Najib noted that 1MDB has reduced its staff strenght from 35 as of Dec 31, 2015 to 17 staff as of Dec 31, 2016.
“By selling off the Edra Global Energy Bhd’s asset, Syarikat Bandar Malaysia Sdn Bhd’s equity and the land for the Tun Razak Exchange project, 1MDB acquired RM10.97 billion in 2015 and 2016,” he added.
According to Public Accounts Committee’s (PAC) report on 1MDB, the state-owned fund’s debt has increased ten time from RM5 billion in 2009 to RM50 billion in 2016.
1MDB was reportedly had paid RM3.3 billion in interest from April 2013 to March 2015.
1MDB, which had asset valued at RM53 billion as of January 2016, had since stripped various assets and equity stakes to clear off its debts.
https://m.malaysiakini.com/news/377487

************

And NST story:

1MDB now debt-free: Finance Ministry

By Nik Imran Abdullah – March 30, 2017 @ 12:17pm
KUALA LUMPUR: The 1Malaysia Development Bhd (1MDB) fund is now debt-free, as it has repaid in full all its bank loans amounting to almost RM4 billion, the Dewan Rakyat was told today.

The Finance Ministry said the debts, including a standby credit facility from the federal government, were paid in 2015 and 2016.
“As of now, 1MDB does not owe anything to banks, nor has short-term debts,” the ministry said in a written reply to Er Teck Hwa (DAP-Bakri).

The ministry said 1MDB made full settlement, amounting to RM229.5 million, for a revolving credit facility to Affin Bank, on Nov 23, 2015.

On March 31, 2015, 1MDB paid the full amount of RM950 million to the federal government for a standby credit facility.

On April 8, last year, RM2 billion was paid to Marstan Investments N.V. for a term loan facility.

On April 15, last year, 1MDB paid in full a term-financing facility amounting to US$150 million to EXIM Bank.

The ministry also said 1MDB had raised cash amounting to RM10.97 billion through sales of assets in Edra Global Energy Bhd, part of equities in Bandar Malaysia Sdn Bhd, and land for the Tun Razak Exchange project in 2015 and last year.

“As the rationalisation plan of 1MDB is ongoing, no new assets were acquired in 2015 and last year,” the ministry said.

In line with the plan, the ministry said the number of 1MDB employees is 17 as of Dec 31, last year, down from 35 staff on Dec 31, the previous year.

**************

Prime Minister Dato’ Sri Mohd. Najib Tun Razak acting as the Minister of Finance responded to a DAP MP’s querry, through a written reply in the Dewan Rakyat.

The Opposition since 2012 made the 1MDB the most controversial and later contentious issues ever thrown against a corporation owned by the Malaysian Government, which was supposed to implement strategic programs such as high end property and energy sectors.

Despite explanations made, even on formal platforms such as replies in the Parliament, the Opposition to continue to make the 1MDB issue continue to be contentious.

Second Finance Minister Dato’ Sri Johari Abdul Ghani did offer detailed explanation on 1MDB, as a response to DAP Strategic Director Tony Pua’s dramatised ‘Open Letter’.

COMMENT I refer to a press statement issued today by YB Tony Pua.

YB Tony Pua is well-versed in the facts concerning 1MDB, given he is a member of the Public Accounts Committee (PAC). Thus, it is disappointing to note that he has chosen to misrepresents the facts and has accused me of lying, in his desperate attempts to mislead the rakyat.

The matter at hand is clear, simple and has been publicly explained, as evidenced in page 81 of the PAC Report on 1MDB.

The facts are as follows:
1. The TRX and Bandar Malaysia lands were originally owned directly by the government. The government made a decision to sell the lands in 2010 and 2013 respectively, to 1Malaysia Development Berhad (1MDB), a holding company 100 percent owned by MOF Inc. 1MDB in turn owned the lands via its 100 percent equity shareholding in two subsidiary companies, ie TRX City Sdn. Bhd. (TRXC) and Bandar Malaysia Sdn. Bhd. (BMSB).
2. It is clear that from the above transactions, the government ownership of the lands shifted from direct to indirect ownership, via MOF Inc ultimate ownership of 1MDB and its subsidiary companies.
3. Although the Bandar Malaysia land was sold at a nominal sum to BMSB, there was a responsibility to construct/upgrade six bases for the Royal Malaysian Air Force (RMAF) and two bases for the Royal Malaysian Police (PDRM), for a total development cost of RM 2.7 billion, of which 1MDB had to contribute RM1.6 billion.
4. Although the TRX land was sold at a nominal sum to TRXC, there was a responsibility to construct infrastructure not only in TRX but also in the surrounding areas, including a vehicular tunnel under Jalan Tun Razak, for a total sum of approximately RM 3 billion.
5. TRXC and BMSB undertook debts of RM 800 million and RM2.4 billion respectively, to undertake the construction of infrastructure and the six air force/two police bases referred to above. These debts were always attached to the said land when these two companies raised their financing and thus form part of the security for the said debts. In other words, it is an operating debt of these two companies.
6. With the infrastructure development and planning approvals obtained by TRXC and BMSB from 2010/2013 to the present day, the value of the TRX and Bandar Malaysia lands have increased in value significantly.
6. The PAC recommended in April 2016 that MOF Inc take over direct ownership of Bandar Malaysia and TRX lands from 1MDB. The most efficient and cost-effective way to achieve this is via a transfer of TRXC and BMSB shares to MOF Inc. So, instead of owning those companies via 1MDB, MOF Inc will directly own BMSB and TRXC, along with all the assets and the operating debts of the respective companies.
7. The TRXC and BMSB debts will be repaid by future cashflows of these companies as described in page 81 of the PAC Report. Further, whilst TRXC will continue to be 100 percent owned by MOF Inc, it is pertinent to note that a sale and purchase agreement has been executed with a consortium for the sale of 60 percent equity shareholding in BMSB.
8. More importantly, page 81 of the PAC Report also makes clear that the debts that will remain on the balance sheet of 1MDB are the RM 5 billion sukuk, the US$3.0 billion bond and the 2x US$1.75 billion bonds. These 1MDB debts will be serviced from matching cashflows, as described in the PAC Report.

Whilst MOF Inc will not be taking over these 1MDB debts, the substance of the letter of support and guarantee from the government, remains intact, as described in the PAC Report.

There is therefore a clear distinction between 1MDB debts, which will not be taken over by MOF Inc, and the BMSB/TRXC project company operating debt, which are part of the assets and liabilities of the company and which will be serviced from the project cash-flows.
JOHARI ABDUL GHANI is Second Finance Minister.
https://m.malaysiakini.com/news/375939

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1MDB was made contentious when Fourth Prime Minister Tun Dr. Mahathir Mohamad openly attacked Prime Minister Najib exactly two year ago this month. His baseless accusations then “1MDB lost RM42 billion!”.

Tagged team with foreign media which include the Neo Con Jewish controlled Wall Street Journal, a serious of reporting made without verified evidence and named sources (supposedly, ‘authorities’ on the matter), which spurred the 1MDB matter to be scandalous.

It was then clear that the 1MDB issue was an excuse to demonise Prime Minister Najib and his administration, in the strategic play to oust him (then attempts to trigger a ‘revolution’ amongst the Cabinet, UMNO Supreme Council, UMNO General Assembly and eventually Parliament through a vote of no confidence).

However, it failed all the way.

Aides of Dr. Mahathir even went overseas to lodge reports to the authorities in Singapore, Hong Kong, Australia, Switzerland, United Kingdom and United States based on so called ‘evidence’, which many are not properly verified and speculative and some are even fabricated.

MOF II Johari also said in Parliament two weeks ago 1MDB is the most investigated corporation in the Malaysian history. So far except for being reprimanded for flogging bureaucratic regulations, no personalities from the strategic investment corporation have yet to be charged because lack of implicating evidence.

Despite all of these reports and complaints lodged all over the world the past two years, there is no progress on the investigations which implicated 1MDB in any criminal activities.

Yet, parties attempting hard to demonise Prime Minister Najib and his administration such as Dr. Mahathir, the Opposition and foreign media been using terms such as “Kleptocracy”.

The fact remains that 1MDB is a corporation which embarked on various diversified tracks faced commercial issues.

 

Published in: on March 30, 2017 at 12:59  Comments (3)  

Mantan Wartawan Sumbang Sabotaj Ekonomi

Pengadu-domba dan mereka yang berdusta sebagai modal strategi politik untuk meningkatkan kedudukan mereka dikalangan rakyat dengan menghasut dan memburukkan pemimpin, walaupun ianya akan menjejaskan kemakmuran negara.

Terdapat pelbagai khabar angin dan pembohongan yang engage diada-adakan tau dimanipulasi dari fakta atau kenyataan sebenar hanya dengan objektif untuk mencapai menimbulkan kebencian dan menggurangkan keyakinan keatas kepimpinan dan dakar dan program-program strategi yang diusahakan.

Ini termasuk program strategik pembangunan ekonomi, yang bakal akan jadi pemangkin dan ‘penggerak permainan’ (game changer) seperti projek Refinery and Petrochemical Integrated Development (RAPID) di Timur Laut Johor.

Ianya merupakan pelaburan strategik Petronas paling besar setakat ini yang dianggarkan berjumlah RM60 billion dan program utamanya ialah Penggerang Integrated Complex (PIC). PIC dirancang untuk kapasiti memproses dan menyaring sehingga 300,000 tong minyak mental sehari.

Kunjungan ulung Raja Salman Al Saud pemerintah Arab Saudi bulan lepas telah menyaksikan Petronas memeterai perjanjian dengan Aramco Saudi, dimana syarikat ‘seven sisters‘ itu akan melabur RM6 billion dalam projek PIC.

Laporan Utusan Online:

Petronas, Saudi Aramco meterai SPA RAPID

AHMAD SHAZWAN MD. YUSOF
28 Februari 2017 3:25 PM

KUALA LUMPUR 28 Feb. – Petroliam Nasional Berhad (Petronas) dan Saudi Aramco hari ini menandatangani Perjanjian Pembelian Saham (SPA) bagi penyertaan ekuiti syarikat minyak Arab Saudi itu dalam projek Pembangunan Bersepadu Penapisan Minyak dan Petrokimia (RAPID) di Pengerang, Johor.

Majlis pemeteraian itu disaksikan oleh Raja Arab Saudi, Raja Salman Abdulaziz Al-Saud dan Perdana Menteri, Datuk Seri Najib Tun Razak di sini.

Petronas diwakili Presiden dan Ketua Pegawai Eksekutif Kumpulan, Datuk Wan Zulkiflee Wan Ariffin sementara Saudi Aramco pula diwakili oleh Presiden dan Ketua Pegawai Eksekutifnya, Amin H. Nasser.
Yang turut hadir, Menteri di Jabatan Perdana Menteri, Datuk Seri Abdul Rahman Dahlan dan Menteri Tenaga, Industri dan Sumber Galian Arab Saudi, Khalid Al-Falih.

Menerusi transaksi jual beli saham itu, kedua-dua syarikat akan memiliki pegangan ekuiti sama rata ke atas beberapa projek dan aset penapisan minyak, loji perekah dan kemudahan petrokimia RAPID dalam Kompleks Bersepadu Pengerang (PIC) dengan sejumlah AS$7 bilion (RM31 bilion) bakal dijana menerusi kerjasama berkenaan.

Menurut Wan Zulkiflee, PIC merupakan salah satu projek terbesar di Asia Tenggara dan pelaburan terbesar Petronas bagi sektor hiliran.

“Perjanjian ini merupakan peristiwa bersejarah bagi industri minyak dan gas kerana dua syarikat minyak terkemuka berkongsi dalam membangunkan projek baharu bertaraf dunia.

“Perkongsian ini bakal mengukuhkan lagi kedudukan, pengalaman operasi serta prestasi kedua-dua syarikat dalam membangunkan projek-projek mega serta rangkaian komersial dalam pelbagai pasaran global,” katanya. – UTUSAN ONLINE

Artikel Penuh: http://www.utusan.com.my/bisnes/ekonomi/petronas-saudi-aramco-meterai-spa-rapid-1.450173#ixzz4c6gWTiPV
© Utusan Melayu (M) Bhd

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Ianya bukti kerjasama erat bukan sahaja diantara dua negara Islam ini tetapi dua pemimpin, yang saling mempunyai penghormatan dan keyakinan tinggi sesama mereka.

Pelaburan ini secara automatiknya melenyapkan laporan media asing sebelum itu berkenaan Saudi Aramco menarik diri keluar dari rancangan untuk melabur di RAPID.

Laporan Reuters pada 27 Januari 2017:

Aramco snub puts Malaysia’s Petronas in tight spot over RAPID project

By Emily Chow and A. Ananthalakshmi | KUALA LUMPUR
Saudi Aramco’s decision to shelve a plan to partner with Malaysia’s state oil company threatens the country’s ambitious plans for an oil and gas processing hub, which it may struggle to keep on course if it cannot find another foreign investor.

The Saudi oil major suspended plans for a joint venture with Petroliam Nasional Berhad, or Petronas, on the $27 billion project in the southern Malaysian state of Johor due to concerns it would not yield high returns, sources told Reuters this week.

Petronas – which has been hit hard by the slump in oil prices, cutting jobs, capital expenditure and its contribution to government coffers – insists the Refinery and Petrochemical Integrated Development (RAPID) project at Pengerang, on Malaysia’s southern tip, remains on track and will begin operations as planned in 2019.

Analysts say the project is too politically important for Prime Minister Najib Razak, mired in a corruption scandal involving state fund 1MDB, to be scrapped or drastically pared back, but believe Petronas will need a strategic investor to bring in funds and industry expertise.

“They may scale it down, but it’s going to go ahead. It might get staggered,” said Subbu Bettadapura, senior director of energy, Asia Pacific, at consultancy Frost and Sullivan.

“(Malaysia) would definitely try to channel funds into Pengerang because a lot is riding on that. All the forces, political and industrial, would be trying to make this a reality.”

Industry analysts and consultants say Petronas is in talk with other foreign investors.

Najib – who has said RAPID will create jobs, raise standards of living and boost the country’s economy – will want to ensure the project in electorally key Johor state faces no further hurdles before the next national election due by 2018.

With Western oil majors also hurting from a slump in oil prices, the most likely solution for RAPID would be to recruit Chinese players to partner with Petronas.

Some analysts say cash-rich Chinese refiners looking to expand into new markets could be interested in RAPID.

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Najib has been moving closer to Beijing diplomatically as the fallout from the 1MDB scandal strains ties with the United States, returning from a November state visit to China with about $34 billion in deals.

“Najib needs to ensure that RAPID can still go on,” said Achmad Sukarsono, analyst at political risk consultancy Eurasia Group. “Politically Najib would want to involve China more.”

PROJECT ECONOMICS

Others, however, caution that RAPID may not make sense for China, which already has enough refineries to meet even its huge oil thirst. Chinese energy firms, they say, would rather invest in more crude production.

A bigger concern is the economics of the project, which have been called into question after sources said Aramco had concluded it would not generate sufficient returns.

Petronas said in a statement on Thursday that RAPID – which includes a 300,000-barrel-per-day oil refinery producing gasoline and diesel – was expected to deliver positive returns and value as planned.

The project, part of the huge Pengerang Integrated Petroleum Complex (PIPC), was announced in 2011 when oil traded at $110 a barrel. Crude prices have since halved.

Like neighboring Singapore, the Pengarang peninsula sits between the Malacca Strait and the South China Sea, through which almost all the Middle East oil and gas bound for northern Asia’s industrial powerhouses of China, Japan and South Korea is shipped.

If fully developed, PIPC would become one of Asia’s biggest hubs for oil storage, fuel refining and petrochemical production, as well as imports and exports of liquefied natural gas (LNG).

Sushant Gupta, research director of refining and chemicals at energy research and consulting firm Wood Mackenzie, predicted Asian markets will be short of gasoline by 2020, meaning RAPID could hit the market at the right time to benefit from improving refining margins.

“So it will be prudent for the sponsors to get the refinery ready on time to capture the expected upswing in margins,” Gupta said.

CANADIAN SACRIFICE?

The RAPID setback means Petronas now faces questions over two of its biggest projects.

It is in the middle of making a final investment decision on a $27 billion liquefied natural gas project in Canada that has faced several delays due to environmental concerns.

The state-run company is also wrestling with lower profit and cash flow. In early 2016, Petronas said it would cut spending by up to 50 billion ringgit ($11.27 billion) over the next four years.

With the questions hanging over RAPID, Petronas may be forced to re-think the Canada project.

“RAPID will still come online, it’s just there is a greater financial burden on Petronas now,” said Peter Lee, an oil and gas analyst at BMI Research. “If anything were to give way or be delayed further, I would think it is the Canada project first.”

For graphic on Pengerang oil and gas development click: tmsnrt.rs/2kAw5RZ

(Additional reporting by Mark Tay and Henning Gloystein in SINGAPORE, Reem Shamseddine in KUWAIT; Editing by Alex Richardson)

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Dalam pada itu, terdapat khabar angin yang amat popular sedang aktif digembar-gemburkan dikalangan penggiat politik Pembangkang dengan dusta memburukkan Kerajaan Pusat terbaru.

Mereka begitu berusaha untuk mengambarkan bahawa Perdana Menteri Dato’ Sri Mohd. Najib Tun Razak sebenarnya amat tidak berpuas hati dengan Presiden dan Ketua Pegawai Eksekutif Kumpulan Petronas Datuk Wan Zulkiflee Wan Ariffin, berdasarkan maklumat yang dimanipulasikan dan ditambah dengan pembohongan.

Ini disandarkan kepada sidang media Datuk Wan Zulkiflee pada 22 Februari 2017.

Laporan The Star:

Wednesday, 22 February 2017

Petronas clears the air on partnerships

BY RISEN JAYASEELAN

KUALA LUMPUR: Petroliam Nasional Bhd’s (Petronas) discussions with potential equity partners for its projects are driven by its interest in bringing in new technologies, as well as diversifying risks in exploration activity.

It is not with the view of getting funding to help finance its projects.

President and chief executive Datuk Wan Zulkiflee Wan Ariffin said that when the national oil company embarks on a project, the entire funding requirement would be factored in.

“We never take on a project with the view that we have to depend on investors for funding to complete the project,” he told senior editors at a briefing here yesterday.

“We are always in discussions with potential partners to maximise the value of our projects and better manage the cash position of the organisation. But we are not dependent on anyone for funding to complete the project. We only pursue partnerships on terms acceptable to us,” he said.

Recently, wire news reports suggested that Petronas was looking to divest a large minority stake in a key Sarawak offshore gas field, and that the sale was partly driven by a need to raise cash at a time of low oil and gas prices.

Earlier reports stated that Saudi Aramco had pulled out of a plan to get involved in Petronas’ Refinery and Petrochemical Integrated Development (Rapid) project in Pengerang, Johor.

The reports suggested that the pressure was on Petronas to find a new partner or struggle to complete the project.

Wan Zulkiflee expressed surprise at the report of Saudi Aramco pulling out of Rapid when it had not gone into any agreement with the entity from Saudi Arabia.

“How can there be a situation of a party pulling out of something when the party was not part of it in the first place?” he said referring to reports of Saudi Aramco supposedly pulling out of Rapid.

“From day one, we have stated that we are able to fully fund Rapid. We are and will not be dependent on anyone for this project. We are close to 60% complete, costs are within projections and the refinery will be ready by 2019 followed by the petrochemical portion by 2020.”

On the potential sale of equity in the Sarawakian oil field, Wan Zulkiflee said that one of the criteria in looking for a partner was in finding one that is able to bring new technologies that make the extraction process more efficient, considering that the gas field contains high levels of carbon dioxide.

“There is also exploration work there, so it is in the normal course of business to find a production sharing partner to share the risks and rewards.”

Wan Zulkiflee also said that Petronas’ financials were intact, despite suffering from lower earnings due to the oil price collapse. Numerous cost-saving measures have also borne fruit.

“Just look at our balance sheet. We have more than RM130bil in cash. We have one of the lowest gearings among international oil companies at 17% and our ratings have not been downgraded in this entire period.”

On Petronas’ staff-rationalisation exercise, Wan Zulkiflee said that it had laid off 2,300 employees last year, which brought about an annual manpower cost savings of RM200mil.

“But the main benefit is that the exercise got rid of duplication (of roles) in the organisation and this, in turn, raises accountability. This is a much bigger win from this exercise than the cost savings,” he said.

Wan Zulkiflee also said that the oil major was using a price assumption of US$45 per barrel for Brent crude oil for its 2017 planning, and that it was maintaining its capital expenditure budget at RM60bil for the year.

The Government in Budget 2017 had also assumed oil to be at US$45 per barrel.

Despite the turbulent industry, 2016 marked many firsts for Petronas, said Wan Zulkiflee.

This included Petronas commissioning the world’s first floating liquefied natural gas (FLNG) liquefaction, storage and offloading vessel – Petronas FLNG Satu – which is now operating offshore in Sarawak. It also started commercial operations at the ninth liquefaction train at the Petronas LNG complex in Bintulu, Sarawak.

Last year, Petronas also commissioned its Sabah Ammonia Urea (Samur) project with first production expected soon. In 2016, the oil giant was also awarded deepwater exploration blocks in the Gulf of Mexico’s Salina Basin. It entered into a memorandum of understanding with National Iranian Oil Company to study two oil fields there and production of oil from Iraq crossed 100 million barrels.
Read more at http://www.thestar.com.my/business/business-news/2017/02/22/petronas-clears-the-air-on-partnerships/#KVm5jKYWMfJ7MQFB.99

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Walaupun Datuk Wan Zulkiflee menjelaskan bahawa beliau sendiri terkejut mengenai laporan Reuters itu kerana pada peringkat itu, kedua kedua pihak masih lagi dalam proses perundingan dan belum mencapai apa-apa persetujuan yang konkrit. Hatta, soal menarik diri tidak timbul pada peringkat sebegini.

Dalam sidang media yang sama, beliau juga menjelaskan apabila Petronas menimbangkan untuk memulakan sesuatu projek, perkiraan telah dibuat agar Petronas sendiri mampu untuk menjana program tersebut.

Namun, pertimbangan untuk rakankongsi juga sentiasa terbuka bagi menerima modal tambahan dan menjana kepentingan strategik seperti meningkatkan peluang jaringan melalui kerjasama dan rakankongsi, terutama kedalam kepasaran terbitan baru.

Ini merupakan salah satu track yang di layari Petronas dengan jayanya, sebagai sebuah operator huluan industri hidrokarbon ini apabila terbukti mampu beroperasi di 20 bush negara dan membawa pulangan yang lumayan.

Kejayaan kunjungan Raja Salman dan perjanjian Petronas-Aramco Saudi merupakan bukti bahawa keyakinan global keatas Malaysia dan pengurusan ekonomi oleh Kerajaan masih mantap.

Ianya amat bertentangan dengan apa yang digembar-gemburkan Pembangkang dan dicanang merata dunia dengan bantuan sesetengah media asing bahawa pengurusan ekonomi negara amat lemas, bebanan hutang diluar kawalan dan negara akan muflis.

Perdana Menteri Najib menyifatkan perbuatan fitnah ini sebagai cubaan untuk mensabotaj ekonomi negara.

Laporan Utusan Online:

Henti sabotaj ekonomi – PM

C.Sheila Rani
20 Mac 2017 11:24 AM

KUALA LUMPUR 20 Mac – Perbuatan sabotaj ekonomi harus dihentikan oleh mana-mana pihak demi kepentingan rakyat dan masa depan Malaysia.

Perdana Menteri, Datuk Seri Najib Tun Razak menegaskan, tindakan sedemikian tidak wajar diteruskan walaupun golongan berkenaan mempunyai perbezaan pendapat politik.

“Ada sedikit sebanyak unsur sentimen yang boleh dipengaruhi melalui cita-cita yang bertujuan untuk memburukkan keadaan ekonomi negara dengan meluahkan fakta-fakta yang tidak berasas dan tidak tepat.

“Ini tidak wajar diteruskan kerana kepentingan negara tidak seharusnya dijadikan pertaruhan dalam soal politik kepartian,” katanya ketika menjawab soalan Datuk Seri Dr. Irmohizam Ibrahim (BN-Kuala Selangor) dalam sesi soal jawab dalam persidangan Dewan Rakyat, hari ini. – UTUSAN ONLINE

Artikel Penuh: http://www.utusan.com.my/berita/nasional/henti-sabotaj-ekonomi-pm-1.459389#ixzz4c6o4Rkhw
© Utusan Melayu (M) Bhd

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Penyokong Pembangkang memanipulasi saranan Perdana Menteri Najib ini dan menyandarkan dengan beberapa laporan media sebelumnya, untuk terus memberikan gambaran yang salah dan berniat jahat.

Ianya sebahagian dari strategi Pembangkang untuk menghakis keyakinan rakyat walaupun realitinya berbeza, seperti episod pelaburan baru RM 6 billion di Penggerang, Johor itu berbanding dengan pembohonan bahawa keyakinan keatas ekonomi dan cara pengurusan.

Blogger Ganesh Sahathevan telah memanipulasi dua laporan media ini untuk memberikan gambaran sebenarnya Perdana Menteri Najib tidak senang dengan Datuk Wan Zulkiflee.

Beliau juga menuduh bahawa Presiden Petronas itu antara yang dinamakan sebagai “Individu yang mensabotaj ekonomi negara”.

Beliau merupakan mantan wartawan The Sun, telah melalui penulisan telah menyerang Presiden dan Ketua Pegawai Eksekutif Kumpulan Datuk Wan Zulkiflee Wan Ariffin:

While PM Najib provided no evidence of who exactly “almost sabotaged” the Aramco-Petronas JV,we do know that Petronas CEO and President Datuk Wan Zulkiflee Wan Ariffin himself expressed concerns about the JV just two days before signing, and he did so publicly ,via a press conference that he himself called.

The Star reported these matters:
Wan Zulkiflee expressed surprise at the report of Saudi Aramco pulling out of Rapid when it had not gone into any agreement with the entity from Saudi Arabia.
“How can there be a situation of a party pulling out o

f something when the party was not part of it in the first place?” he said referring to reports of Saudi Aramco supposedly pulling out of Rapid.
“From day one, we have stated that we are able to fully fund Rapid. We are and will not be dependent on anyone for this project. We are close to 60% complete, costs are within projections and the refinery will be ready by 2019 followed by the petrochemical portion by 2020.”

The above was preceded by an earlier report in The Star,dated 25 February 2017 in which Petronas seemed to be warning off PM Najib and his government.Headlined “Let Petronas Do Its Job”, the story included the following statements:

There has been a fair bit of speculation surrounding Aramco inking a deal with Petronas in relation to the latter’s Refinery and Petrochemical Integrated Development or Rapid project in Pengerang, Johor. The latest is that both parties will sign an agreement on Monday during King Salman’s visit to Malaysia.
Petronas has not said anything about any potential deal with Aramco, except that it is always in talks with potential partners, but that any deal inked would have to be on Petronas’ terms. In other words, beneficial to Petronas and not lopsided, as it should be.
Petronas’ president and CEO Datuk Wan Zulkiflee Wan Ariffin recently told editors in Kuala Lumpur that Petronas never takes on projects with the view that it has to depend on investors for funding to complete the project.
That said, partnering Aramco should have its benefits, considering it is not only the company with the vastest oil reserves, but also the most valuable company in the world today. The deal just has to be struck on equally beneficial terms.
…..the O&G resources of the country belong to all Malaysians, and they have to be handled with care.

It does appear then that it was the Petronas CEO himself who was trying to discourage Aramco, and he was not afraid of doing so publicly.

Then there is the matter of the EPF. Najib is reported to have said:

“Some unpatriotic people had spread claims that the Employees Provident Fund (EPF) was almost bankrupt and that the government was unable to pay the salaries of its civil servants.
“The Saudi Arabian government had received this wrong information about our country and thus, were quite doubtful about investing in Malaysia.
“We had to meet them and correct the facts that Malaysia is among the best countries in the world (to invest in). When they were convinced, they finally agreed to invest with us” .
However, Aramco sells its crude to Petronas, and it would,as any oil company would, be interested only in the viability of its client. If otherwise, Shell, ExxonMobil and others would not be investing in say Nigeria. Put in another way, oil companies have long ago learnt to limit their exposure to the oil assets that they deal with, managing to ring-fence these from the problems of the countries they deal with.
Therefore the matter of EPF would be of interest only if the EPF is expected to bail-out the RAPID project, for a bail-out is what it would be.If not, the EPF would already be an investor in the project. A bail out should not be unexpected, given that the JV agreement with Aramco seems not to involve any injection of cash.
END
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Blogger ini juga dengan tanpa bukti melibatkan KWSP (EPF) dalam artikel ini dan mengambarkan bahawa wang KWSP akan digunakan untuk ‘bail out‘ RAPID sekiranya perjanjian Petronas-Aramco itu gagal. Ini ditambah sekiranya tidak, KWSP sememangnya akan melabur didalam projek gergasi Petronas itu.

Mengheret KWSP dengan manipulasi maklumat yang tidak tepat adalah salah satu cara untuk menghasut agar terdapat dikalangan pencarum KWSP salah tafsir tulisan ini dan terpedaya dengan dakyah Pembangkang bahawa ekonomi negara sebenarnya teruk dan tidak diurus dengan baik.

Maka ianya akan dijadikan sebagai titik untuk mula mebangkitkan kesangsian dan kemarahan dikalangan pencarum KWSP, yang rata-ratanya rakyat biasa.

Tindakan ini jelas sebagaimana yang ditekankan oleh Perdana Menteri Najib akan aktiviti mensabotaj ekonomi ini.

Amat malang sekiranya strategi untuk menghasut dan menjana kebencikan kepada kepimpinan dan Kerajaan Barisan Nasional memberi kesan kepada negara, terutama menghalang peluang perdagangan apa skala sekalipun dan pertumbuhan ekonomi, demi merealisasikan politik sempit sesetengah pihak.

Published in: on March 23, 2017 at 09:00  Comments (8)  

The Cost of Manja

The civil service bill

The civil service bill

In moving Malaysia forward not only into the newly developed nation status but a high middle income nation, the rakyat must do their bit together with enthusiasm and not leave everything to the Government to realise, execute and bear the cost.

The Malaysian Government under Prime Minister Dato’ Sri Mohd. Najib Tun Razak laid out a target to be a high economy nation with the people able to obtain high income, which should be realised with one of many strategies is the rationalisation of subsidies.

The fundamental philosophy of a ‘Government’ is ‘To provide the things and services that people cannot provide for themselves’.

Let us Malaysians take a close look at that. Do we provide and do things ourselves and minimise the burden to the Government?

As  a general rule, Malaysians don’t. They prefer other people to do these things for them. Conveniently, the Government. Anything and everything, even the petty of things in their daily life, they blame and put the responsibility on Government.

Example like the power consumerism. If there are errant traders who do profiteering, can the consumers do anything about it if they feel they have been bullied or treated unjustly?

Oh yes they can! They can boycott such traders. Even the cartel, if the community which felt unjust.

But do they do that? No. Usually they do nothing but complain. They conveniently  put the burden on Government, to act for them.

“Government should……” is one the most widely used phrase amongst Malaysians all walk of life.

Many of rulings and directives have to be ‘enforced’, which means enforcement officers have to assigned. A quick example is ‘meter maid’ by municipalities and local authorities, to enforce parking rules are observed.

This cost could otherwise be minimised if the people in their earnestness abide by rules without much supervision.

Taken that some essential services involving security such as like military, police, prisons, immigration, coast guard etc. have to be provided and manned by civil servants. However, sort which could be automated with the advancement of technology such as administrative is actually growing.

The work demand partly created by service required or expected to be delivered by the Malaysian public actually saw the civil service growth, both horizontally and vertically. Some ministries even provide three Deputy Secretary General positions, with corresponding Divisional Secretaries and Directors.

This is why the civil service is so enormous. 1.6mil people are employed on behalf of the Government to serve cogs and gears of the nation. Inadvertently, this is why to pay for the civil service cost the Malaysian taxpayers RM93 bil or 35.8% of annual Federal Government budget.

That alone is 78.8% chunk off the revenue collected by Inland Revenue Board of RM118 bil.

This is up and above bills that the Federal Government are already paying (at almost 100%) for the comfort of the rakyat, which is health and education.

The left over from direct taxes collected by IRB in the form of income tax and other taxes is RM25 bil, which is supposed to pay for other expenditures.

High operating expenditures such as paying emoluments and pensions for the civil service also means that lesser could be invested in socio-economic development capital expenditures.

The present ratio of 1 civil servant to less than 20 Malaysians is a little too high. This is even higher ratio than pre-corporatisation and privatisation of services like electricity, water, telecommunications, postal and other services.

Realistically, high civil service bill in annual budget is not a good indicator that the nation had moved forward as a newly developed nation. The economy may qualify to be in the cohort.

However, the attitude of the people is pointing towards that they are not quite independently developed.

Published in: on February 1, 2017 at 22:00  Comments (14)